Homes near the UK’s top thirty schools have seen price growth at 35% nearly twice that of the national average over the last five years.
The latest data from Lloyds Bank shows properties located near the top thirty schools have grown 35% in value over the last five-years nearly twice as fast as the rest of the country.
Average house prices in the postal areas close to thirty top performing state schools are £400,850 compared to the average for England at £293,824, a difference of £107,026.
Values increased by 35% or £104,365 over the last 5-years compared to an English average of 20% or £49,082 making it difficult for home movers or first time buyers to own homes in these areas.
The top thirty State schools have achieved the highest proportion of grades A-A or level 9-7 in the country ranging from 66% to 94%.
Strong price growth from top schools
The Henrietta Barnett School which has the highest grades of 94% also has the highest house prices rise by value of £232,825 up 27% over 5-years with average property values of £1,100,748.
The following table form Lloyds Bank shows the highest percentage change in prices over 5-years for homes near top state schools and the average prices in 2018:
| State School | Average Price | 5-year change |
|---|---|---|
| Latymer School | £320,684 | 59% |
| Nonsuch High School for Girls | £447,195 | 57% |
| Wilson’s School | £384,694 | 53% |
| Wallington County Grammar School | £384,694 | 53% |
| St Olave & St Saviour Grammar School | £552,945 | 51% |
| Southend High School for Girls | £251,461 | 50% |
| Townley Grammar School | £379,279 | 50% |
| Kendrick School | £293,874 | 47% |
| Altrincham Grammar School for Girls | £434,756 | 45% |
| Loreto Grammar School | £434,756 | 45% |
The largest change in the top 10 is for Latymer School in Enfield, north London up 59% or £118,589 over 5 years and the highest rise in value was St Olave’s and St Saviour’s Grammar School up £187,011.
Outside of London, properties nearby the Southend High School for Girls in Essex have seen values rise the greatest by 50% to £251,461 over 5 years.
Homeowners near top schools have benefited from rising house prices and remortgage buyers have the opportunity to release capital for home improvements.
Many homes rise £80k in five years
Of the top performing schools, 21 are in locations where average house prices are higher by £80k or more in the past 5 years and 10 of these are in Greater London.
The highest premium paid is for Beaconsfield High School with average house prices of £1,018,794 which are 149% or £609,887 more than the local county average.
Older homeowners living near top schools have significant gains in value allowing the equity release buyer to access wealth using a lifetime mortgage to maintain their lifestyle, or help your children start or expand a business.
Andrew Mason Lloyds Bank mortgages director said, providing their children with a good education is a priority for most parents and is often on the list of key considerations for families looking to decide where to live.
Premiums are attached to some postcodes near the best state schools although across the country many are under the county average, particularly outside of London and the South East where homes remain more affordable.
For buy-to-let landlords with existing properties near the best state schools, rising prices will create more equity which they can benefit from if they sell in the future.
For the top schools average house prices are 9.9 times average local earnings compared to 7.9 across England with the Henrietta Barnett School the least affordable at 22.2 times.
The most affordable properties are near King Edward VI Handsworth School in the West Midlands where house prices are just 3.7 times average local earnings.
What are your next steps?
Speak to our LCM mortgage advisers if you are planning to move home, buying your first home, remortgaging your existing home to a new cost effective mortgage deal or are a buy-to-let investor.
For equity release buyers our London City Mortgage brokers can recommend lifetime mortgages allowing you to receive cash from your property to help maintain your standard of living as costs rise or gift to a family member or friend.
Learn more by using the mortgage cost calculators, equity release calculator and property value tracker chart. Start with a free mortgage quote or call us and we can take your details.
