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Agents who leverage their knowledge of school catchments and nearby high-demand suburbs can achieve significantly higher sale prices for their listings than for properties just a street away.
While factors like car spaces and solar panels have long influenced property values, school locations have increasingly been playing a prominent role in determining the final sale price.
According to the real estate network Raine & Horne, young families have been willing to pay extra to secure a home in the catchment area of sought-after schools.
The network’s data found that many parents had “proximity to a good school” high on their property wishlist and were ready to pay up to a 5 per cent premium to give their child a chance to attend a reputable school.
Raine & Horne executive chairman Angus Raine said families’ willingness to pay the premium was a result of surging education costs, with Futurity Investment reporting that 13 years of independent school education now costs an average of $369,594 nationally.
“Based on today’s national median of property price of $901,257, that 5 per cent premium can add $45,000 to the cost of a property, relative to those that may only be a street away but outside the school’s catchment zone,” Horne said.
Tim Boyan, director at Raine & Horne Lindfield, said the areas around highly regarded public schools remain highly sought after, with buyers drawn to their strong academic rankings.
“Exactly how much of a premium families will pay to buy in the catchment zone of these schools depends on the property, street, and broader market conditions,” Boyan said.
He said families who opt for private schooling often buy a home near the school of their choice, meaning the price spike was not exclusive to public school catchments.
“This adds to buyer demand and higher prices.”
“The preparedness of parents to pay more to be near a particular school is not limited to those who select the public school system.”
According to the network, property prices were influenced not only by academic results but also by how local schools cater to specific demographics, including specialised learning programs aligned with factors such as immigration patterns.
Raine & Horne Unley sales agent James Trimble said that in Adelaide, many families were having to choose between paying rising education costs or pivoting their finances into a home.
“This is changing the dynamic of where families can afford to send their children to school,” Trimble said.
“Many South Australian families are weighing up whether to spend half a million dollars educating their children in the private school system versus paying more for a home near a sought-after public school.”
“The latter strategy can mean paying next to nothing in school fees while enjoying a strong return on their home’s value if they choose to sell in the future.”
Trimble said that buyers looking to move to a new school catchment area for their children should act as soon as possible to avoid reaching capacity limits.
“School offers come out in August each year, so families need to start their buying journey today to be sure they are on the enrolment list for their preferred school in 2027,” he concluded.
ABOUT THE AUTHOR
Mathew Williams
Born in the rural town of Griffith NSW, Mathew Williams is a graduate journalist who has always had a passion for storytelling. Having graduated from the University of Canberra with a Bachelor of Sports Media in 2023, Mathew recently made the move to Sydney from Canberra to pursue a career in journalism and has joined the Momentum Media team, writing for their real estate brands. Outside of journalism, Mathew is an avid fan of all things sports and regularly attends sporting events across Sydney. Get in touch at
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