Top School Areas Add 25% to Property Prices

Homes situated in the areas of top performing independent schools can add up to 25% to the value of a property over the average for their region.

Real estate adviser Savills’ latest analysis of GCSE results shows that the average value of a property close to one of the UK’s top 10% of state schools (where points per pupil average over 450 according to the Department of Education) is around £348,000.

This is equal to a 12% premium above the average for their regions and unsurprisingly this rises to £414,000 in the postcode sector of the top independent schools, which is an average premium of £83,000.

Non selective state schools, which usually offer places on the basis of proximity to the gate, push house prices up to an average of around £400,000, which is 20% (£66,000) above their regional average.

In contrast, properties situated near to high performing selective state schools which are dominated by grammar schools, offer greater value at an average of just under £290,000, which is a marginal 2% premium above their national average.

Homes situated near to the worst performing schools (under 300 points per pupil) cost just £220,000 on average, which is a 19% discount.

The highest concentration of top performing schools is found in London and the South East, where over a quarter of all pupils attending such schools, be it state or independent, and in both outer London and the South East almost one in six (17%) pupils are in schools achieving over 450 points per pupil.  By contrast, across the Midlands and the North that figure is between 6% and 7%.

This is reflected in the regional pattern of house prices as the average cost of a home near to a high performing state school is £1 million in central London, £500,000 in outer London and £400,000 in the South East.

In the South East, it costs around £80,000 more on average to live near to a non-selective state school.