Blog
Catchment areas and house prices
- Posted:
- 24 August 2023
- Time to read:
- 4 mins
Is now a good time to move house? How far should parents plan ahead to ensure their child goes to their dream school?
The Halifax House Price Index in July 2023 found the average house price to be £285,044. While the media often reports that house prices are dropping significantly, the statistics show more of a gradual decrease. The report says:
“Average UK house prices edged down slightly in July, with the monthly fall of -0.3% equivalent to a drop of around £1,000 in cash terms. While this was the fourth consecutive monthly decrease, all have been smaller than -0.5%.”
If you have children or are considering starting a family, you might want to consider the location of your home in relation to schools and you may be weighing up whether this is a good - or a bad - time to move home.
Schools work largely on catchment areas, and if you live within the catchment of your choice of school, your children stand a far higher chance of getting a place.
How do schools determine catchment areas?
A school catchment area is the region within the immediate vicinity of the school. In reality, this means that the closer you live to a school, the more chance your child has of securing a place there. To find out the details of a school’s catchment area you can contact the school directly or you can speak to the local council. Catchment areas can change at any time, so it’s always worth contacting the school for the most up to date information.
How do catchment areas affect property prices?
A study by the Department for Education in 2017 found that:
- There is a "clear link" between the price paid for a home and access to good schools
- House prices near the 10% of best-performing primary schools are 8% higher than the surrounding area
- Near the 10% best-performing non-selective secondary schools, house prices are 6.8% higher[2].
Properties in the catchment areas for schools rated as ‘outstanding’ by Ofsted (The Office for Standards in Education, Children’s Services and Skills) can be considerably more expensive than similar properties just outside of the catchment area, so it’s understandable why parents will go to extraordinary lengths to get the house they want if it’s in an area that will allow their children access into their school of choice.
Typically, these properties will hold their value. As long as the local school continues to perform well there will always be a high demand for properties in its catchment. In fact, the location can be more important than the property itself. However, if a school changes its Ofsted rating and is underperforming, that factor alone can drive property prices down.
Is there a right time to move?
Buying a house is a huge investment and it’s important to do your research. Although your overriding aim may be to get your child into a particular school, you owe it to yourself to find out as much as you can about the property before you buy it and to visit the location frequently - especially if it’s an area that is new to you. The more information you have, the better placed you are to make a decision…even if you decide to hold off for now.
You will also want to research the school you have selected; look at its Ofsted reports and once you have made your decision, check out the property prices within its entire catchment area. If you’ve done your homework and are in the know - particularly if you have your finance lined up - you could be in a very good position to move fast should an appropriate property come onto the market. Remember that house price shifts affect the entire property market. If you are selling and buying, a slight drop in value will be reflected in the house you buy as well as the one you sell.
What to do next
Speak with a mortgage advisor and conveyancing solicitor as soon as possible so you understand the process and next steps. Sorting out your finances and having a legal adviser in place will add to your preparedness to move.
For more information please contact me on 01206 217328 or email me at [email protected].
[1] https://www.halifax.co.uk/assets/pdf/july-2023-halifax-house-price-index.pdf
