Parents willing to pay 15% premium on properties within top school catchment areas
Updated research from Santander UK reveals that three-quarters of UK parents (73%) would be prepared to pay extra to be in the catchment area of a good school – up 11% on last year.
The average price premium parents would be willing to pay to be in the catchment area of a quality school, Santander found, is 15%, which means stumping up a further £57,000 on a £380,000 property. One in 10 would go as far as paying over 25% extra. Parents would also be willing to uproot and move an average of 31 miles to bag a place in a top-tier school, which is nine miles further than a year ago.
However, many parents may find that their appetite for stumping up more money isn’t enough, as Santander analysed the top 50 primary and top 50 secondary schools in the UK and found the average price of a home to be £538,490 - 42% higher than the average price of homes currently coming to the market in the UK (£379,517).
Santander's research also found that the competition for state school places has worsened since the Government introduced VAT to private school fees. Over a fifth (21%) of parents whose children are currently at private school say they have plans to move them to a state school due to higher fees. Of this group, over two thirds (69%) say they will relocate to get their children into the best state school catchments.
As a result, parents who had their eyes set on a state school are reporting added concerns for the future, with almost half (46%) saying they are worried about competing with those who will no longer be taking up a private school space.
David Morris, Head of Homes at Santander, said: “There is good news for parents however, as a record number of properties coming to the market, combined with stabilising interest rates and improved affordability, will hopefully help some of them bag an outstanding home in their dream catchment area.”
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The information contained within was correct at the time of publication but is subject to change.
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