Property premium for good school catchment area hits 15% in London

Having a house in the catchment area of a popular state school in London adds a whopping £71,539 on average to its value, according to recent research, as the premium that parents are willing to pay continues to grow.

School catchment area price premiums for houses in London are the highest in the UK, at 15%, compared with only 11% in the East Midlands. Once you add in the fact that average house prices are higher in London, then parents in London have to pay much more to be confident of a good state education for their children.

It is already well-known that living near a good school adds a premium to property in the area, but as the prices continue to rise Londoners do not seem to be detered. 46% of parents in London are prepared to move to the get good education for their children – the highest proportion in the country.

Overall throughout the UK 49% achieved the switch by selling up and buying in the favoured area, whereas 25% purchased a second home and 26% rented a property. 

Stephen Ludlow, Chairman of ludlowthompson, comments: “Having good schools nearby has always been a key selling point for property, as young families want to ensure their children get the best school opportunities available.

“This latest research shows parents are still clearly willing to pay higher prices for property near good schools. More than ever it is important to think ahead when buying a property, particularly if you are planning a family. It is essential to get good advice from agents who know their area well”

“One encouraging aspect is that a lot of state schools in London have really upped their game in recent years, so there is a wider choice of good performing schools, particularly at the secondary level. Let’s hope this trend continues.”