The £43k property premium to get your kids into a top state school
The average price of a home close to one of England’s top 30 state schools is an eye-watering £415,844, according to research by Lloyds Bank.
This is £128,615 (or 45%) higher than in England as a whole (£287,229).
Average property prices in the postal districts of the top 30 state schools in England – defined as the secondary schools that achieved the best GCSE results – were on average £43,490 (12%) higher than other locations in the same county (£372,354).
Beaconsfield High School in Buckinghamshire is where parents pay the biggest premium of £643,181 (158%) compared to the average house price in neighbouring areas.
Homes close to the Henrietta Barnett School in Barnet command the second highest premium of £367,632 (59%).
These schools are followed by Dr Challoner’s Grammar School in Buckinghamshire with a premium of £246,598.
However, not every top school commands a property price premium. In fact, 14 of England’s top 30 state schools are in locations where the average property price is below the average for the area.
With an average price of £288,430, properties close to the Reading School and Kendrick School, both in Reading, are £132,718 (-32%) below the county average, which is the biggest discount for a house near a top performing state school within the survey.
These are followed by Aylesbury High School in Buckinghamshire with a discount of £112,674 and King Edward VI Handsworth School in Birmingham (-£82,640).
Properties in the postal district of the King Edward VI Handsworth School in Birmingham – the least expensive in this survey at £113,675 – are the most affordable with a house price to earnings ratio of 3.7.
Andrew Mason, Lloyds Bank mortgage products director, said: “All parents want to ensure their children get a good education, so it’s not surprising that homes in areas close to the top performing schools typically command a significant premium over the surrounding area and high demand has led to prices being out of reach for many buyers.
“If being near a top performing school is a priority however, you don’t necessarily need to pay extra to do so with almost half of the top 30 schools being in locations that cost less than the average of that area.”
In Scotland, parents pay a massive £41,000 property price premium to live near a top performing school, according to the Bank of Scotland.
It found that house prices near Scotland’s top 20 performing state schools average £231,476 – 22% higher than in surrounding areas (£190,035).
Homes near Cults Academy have the highest premium of £102,497 (52%) compared to average house prices in neighboring parts of Aberdeen City.
However, top performing Jordanhill School in Glasgow comes with a house price premium of just £3,521 (2%) and houses near eight of the top 20 Scottish state schools actually cost less than their local authority’s average.