Proximity to good quality schools and educational facilities is an ever-increasing factor in the value of homes and their potential for capital gain.
Melbourne’s population growth is putting natural pressure on the availability of homes in high-demand school catchment zones.
The statistics don’t lie, and you’ll find house price growth nearly always outpacing the city-wide average in popular school zone areas.
A Domain school zone report has for example found that in the number one ranked Glen Huntly Primary School, catchment property sales price growth in the last 12 months was 41.3 per cent.
That’s obviously well and truly above Melbourne’s entire average over the same time, which hovered around the 10 per cent mark.
The figures are a concern for some parents who face being priced out of such catchment zones after these big house price jumps.
Rob Elsom from Jellis Craig gave an insight into the importance buyers were placing on school zones, telling Domain the number one question they asked in his North Melbourne office was whether a property fell in the University High School zone.
“I’ve known buyers that have literally moved from one side of the street to the other just to get into the zone,” he said.
“University High also has a strong reputation within the Australian Chinese community and overseas.”
Mr Elsom said many buyers were willing to forgo other important features like car parking a backyard to get into some school catchment zones.
“What a school zone really does is add to the appeal and, ultimately, add more prospective buyers into the mix.”
