In a survey taken by Redfin, they found some
shocking results regarding how much it costs to buy
a home near the best schools. The information gathered concentrated on
elementary schools specifically.
School districts and the schools themselves are two
large considerations when home buyers have children or are beginning a family.
Tommy Unger, a Redfin senior data
analyst stated, "When you're thinking about that first home, you're
thinking about elementary schools. Education
and schools is something that every parent pays attention to. That also means
we tend to want the best."
Out of 1000 perspective home buyers, Redfin tells us
that half of those buyers would gladly pay up to 20% more to live in premium
school districts. The question becomes; is
20% more enough here in the greater Chicago metro area?
The median price for homes in top school districts
was $257,500 versus a median price of $162,500 in average school
districts. The difference is more than
58%. So, to answer the question that
many home buyers were floored by, is no, 20% more isn’t going to get you into a
premium school district.
Redfin surveyed like
single family homes sold from May 1, 2013 through August 31, 2013 in the same
neighborhoods but different school districts.
These homes were also listed with multiple listing services and were in
a period where prices were definitely in recovery. After analyzing the data they were able to
calculate a national average. The
national average is $50 per square foot more to live in
premium school districts
Supporting statistics on the top schools in the
country and test scores, based on 2012 results, were provided by Onboard Informatics, Maponics LLC and GreatSchools.
Unger shared, "I was
expecting thousands of dollars difference, not tens of thousands. I didn't expect the consistency across the
nation, no matter where it was."
Getting back to Chicago, Redfin
compared this market to others and determined a nearly 60% higher price in top
school districts, that was still considered a good deal. The top school districts in Miami and Phoenix
were double in price to those in average school districts.
Information on schools and the
districts they are in has rapidly become a vital aspect of many of the leading
real estate websites and apps, including Trulia, Zillow, RealEstate.com and of course Redfin.