Houses within some school catchment areas are hot properties in Melbourne, with prices hitting up to $412,500 more than those just outside the zone, according to the latest Real Estate Institute of Victoria (REIV) data.
REIV President Robyn Waters said that the trend was driven by buyers’ desire to have access to sought-after public schools. These customers are usually those with school-aged children.
REIV found that the median house price for a residence within the designated neighbourhood boundary for the newly opened Beaumaris Secondary College is $1.62 million, while the median for a house within a one-kilometre radius of the zone has a median of $1.21 million – $412,500 less.
Homes bordering the school zone for South Yarra Primary School, meanwhile, have a median of $1.37m—$335,000 less than the $1.7 million median for a house within the school zone.
“From the REIV’s latest data, it appears that addresses within coveted designated neighbourhood boundaries for public primary schools have become more desirable than high school zones. Location within a well-regarded public primary school zone is important for increasing numbers of parents who plan to send their children to a public primary school followed by a private secondary college,” Waters said.
Homes within these areas are tightly held since parents are considering the money they will be able to save by sending their children to a good public school rather than spending thousands on fees at a private school.
“Most of these schools require proof of residency, such as a council rates notice, utility bills and/or driver’s licence, a statutory declaration of residence or a minimum leasing arrangement of 12 months from a licensed real estate agent, and many only offer school tours for families who live within the designated zone,” Waters said.
Median price differentials of over $100,000 from within and outside school zones have been observed around schools in suburbs such as Beaumaris, Glen Waverley, Kew, McKinnon, Mount Waverley, Camberwell, South Yarra, Malvern East, Malvern, Hampton, Preston, Fitzroy, Hawthorn East, Altona and East Bentleigh.
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