Parents pay £53k extra to live near top state schools
As the summer holidays come to an end, some parents will be sighing with relief even though they may have forked out £53,000 more, on average, to live close to a top-performing state school, new research has revealed.
Lloyds Bank has found that average house prices have hit £366,744 in neighbourhoods that are close to England’s top 30 state schools, which had the strongest GCSE results in 2015 – an increase of £13,000 (31%) from last year.
The postal districts of six of the 30 top state schools had house prices that were £150,000 more than their surrounding areas.
Homeowners in Buckinghamshire have paid the highest premium to live near Beaconsfield High School, with homes trading at £996,212 – a massive £629,021 (171%) above the county average house price of £367,191.
Parents were also prepared to pay hundreds of thousands of pounds more to live close to The Henrietta Barnett School in north London, with properties trading at £1,011,016 - a premium of £429,506 (74%) compared to the rest of Barnet at £581,510.
Other hotspots are properties close to Sir William Borlase's Grammar School in Buckinghamshire (premium of £220,082) and the Tiffin Girls School in Kingston upon Thames (£192,011 premium).
House prices near top schools up 26% since 2011
As well as their children benefiting from a top state education, parents close to these schools have also seen the value of their homes shoot up. Those who bought a home near one of the top 30 schools just before their child went to secondary school in 2011 have seen an average house price rise of £76,000, from £290,683 to £366,744, in 2016 – a rise of 26%. This compares with average house price growth in England over the same period of £42,145 or 18%.
Andrew Mason, mortgage products director at Lloyds Bank, says: “Our analysis shows that since 2011 average house prices in areas with the best state schools have increased by £76,000, compared to a national increase of £42,145. And seven of the areas covered in this survey have seen house prices rise by over £100,000 in the last five years.
“The popularity of areas close to high performing schools may mean that homes remain unaffordable for buyers on average earnings.”
(Click on the table below to enlarge)
Table 1: House prices in postal districts of the highest ranked* secondary state schools in England 2016 – House prices above county/borough average