If you live on Isle of Hope, you’ve probably thought about schools a little bit (or maybe a lot) over the past few months. It’s hard not to as you drive by the construction of the New Isle of Hope K-8 School.
So I thought it would be a great time to talk schools and home values.
Survey Says Schools Are “Very Important” to Homebuyers
Realtor.com surveyed 1,000 prospective home owners and found that 91 percent said school boundaries were an important consideration in their search.
In other words, schools are very important to almost everyone buying or selling a home.
In fact, here’s a couple of other eye-opening findings from the survey.
What Buyers Will Trade for Good Schools
- One out of five buyers said they would give up a bedroom or a garage for a better school.
- One out of three buyers would buy a smaller home to live near a good school.
- One out of five homebuyers said they would pay 6 to 10 percent more than their home buying budget for the right school.
- One out of 10 would pay twice that or 20 percent for a good school.
If you send your kids to private schools, you understand why. Tuition is a pricey investment. But It’s clear from this survey that a good neighborhood school will likely increase the value of your home and its resale value – even if you don’t send your kids there.
The Simple Economics of Good Schools
It’s simple economics. A good school creates more demand for an area and causes property values and resale values to go up.
In the case of schools, you’ve got half of home buyers willing to go above their budget and and more than half willing to give up other amenities for a good school. So no matter what your opinion of the New Isle of Hope School, it is fair to assume it will positively impact your home’s value.