There are a lot of factors in the volatile real estate market that affects the value of properties. One crucial factor that affects the value is the presence of good schools in the nearby proximity. There has long been a link between home prices and residential areas. When it comes to buying a new home, the school location is often one of the most important considerations for families with children. A reputable school is more important to most house purchasers with children than any extra luxuries or amenities. Many parents are willing to compromise on many other aspects of the property or neighbourhood if they can find a good, reputable school nearby. Not only this, but they are even ready to pay more money for a property if a good school lies in the local vicinity. Even if buyers don’t have children, intelligent home buyers understand the link between excellent schools and high housing prices. It is not just an advantage for children but also a long-term financial investment.
In a highly competitive market, residences close to good schools tend to keep their value and attract buyers if the market slows, precisely because most parents want schools easily accessible to their children, especially younger children. It eases the daily hassle of commuting and ensures the safety of younger children.
Graana.com brings you a few reasons why schools play an important role in determining the prices of residential properties:
Reasons
Always in demand
Due to parents’ desire to find a house in close proximity to their house, residential properties close to schools are always in demand. The education of children is one of the most significant concerns of parents. They are always looking for properties near schools and are ready to pay a premium rate for that. When a few homes are sold at a premium price, the overall rates of the area also increase.
Good long-term investment
Even if a buyer doesn’t have children, such properties are a good investment for the future. Being closely located to schools always gives them a competitive edge to resale. Considering the volatile nature of real estate, investors can purchase such properties and resale them at a good rate even when the market is slow.
Good environment
Mostly, schools are in a better city area that is relatively safer and offers a good environment. So residential areas close to schools are comparatively safer and ideal for children. Although traffic congestion and noise at the day start and afternoon when school ends is a drawback, the overall environment makes up for it.
Better accessibility
Generally, schools are located in a more affluent and safer part of the city that has improved accessibility, making it easier for students to commute to school every day. Parents are attracted to moving to an area with better infrastructure and facilities. As a result, residential communities near schools are seen to be safer and more suitable for children. Although traffic congestion and noise at the start of the day and in the afternoon when school ends are a disadvantage, the overall environment makes up for it.
Saving money
While properties near schools are more expensive than those in other neighbourhoods, they will save you money in the long term. Parents save a lot of money by not having to drive their children to school every day or bear the expenditure of sending children on school buses. If a school is within walking distance, it saves money and time on transportation.
Competitive Advantage
Residential areas with schools located closely will always have a competitive advantage over areas with schools located further away. Parents, especially those with younger children, will always be concerned about sending their children to a school that is far away from home. It causes daily commuting inconvenience, travel expenses, and safety concerns. Also, the market price for such properties is less likely to be affected even if the overall prices go down.
The impact of schools and the value of residential properties are inseparably related to each other. While looking for a property, it is always a good idea to research and consider such factors before investing a hefty amount of money. Whether you are looking for a house for yourself or future investment, buying a property near schools and such facilities will always help you in the long run.
