State school property price premium falls by £32k

The house price premium for living close to the UK’s top 100 state secondary schools has dramatically fallen.

According to new research from Santander, the price premium for parents keen to secure a spot for their offspring at the best non-fee-paying schools has fallen from 15 percent to 5 percent in the last year.

That means an actual financial drop of £32,100.

Catchment area crucial for parents

In 2018, parents moving into the catchment area of the best state schools were paying a premium of £51,600. In 2019, that has fallen to £19,500.

More than a quarter (26 percent) of parents said they were willing to pay a premium to ensure their child got a place at their preferred state school, with £20,000 the average extra willing to be paid.

Parents rate proximity to a good school as more important than being close to good transport links, family and friends.

Boost to buyers

Meanwhile, the Santander research has revealed that parents start thinking about school places long before their child is ready to pull on a uniform for the first time.

Seven percent think about schools when planning a family, 6 percent when pregnant and 22 percent shortly after their child is born.

Miguel Sard, managing director of Santander UK, said: “The recent property market slowdown has seen house prices in many school catchment hotspots cool significantly, giving an unexpected boost to parents looking to move near to sought-after state schools.

“With many parents planning for their child’s education straight after or even before their baby is born, and properties in top school catchments now more accessible, competition for school places looks set to be fiercer than ever.”

About the Author Frances Traynor

Fran is the content writer for Capital Conveyancing, producing articles on all aspects of the conveyancing process and around the UK property market in general. If there is a topic you'd like to see covered on these pages, please drop Fran a line on [email protected]