Schools Boost Property Prices

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There are many reasons why people choose to buy a house and land package in a particular Perth suburb, but there are few stronger motivations than the desire of parents to give their children the best education possible. In fact, many will buy a home purely because it falls within the catchment area of a highly-regarded school.
 
Real estate portal Domain had a look at how school catchment zones affected property prices, and it found that catchment zones had a significant impact on prices.

Domain’s chief data scientist, Dr Nicola Powell, said property price growth near top schools was significantly higher than the average growth rate of the city. “While large variations across suburbs in capital cities is normal, and many factors influence price growth in a given area, this data does suggest a relationship between high price growth and school catchment zones," she said.

Domain has categorised the following as Perth’s hotspot zones – Rossmoyne, Churchlands, Mt Lawley and Willetton Senior High Schools, Shenton College and Como Secondary College.
 
In near-city suburbs south of the river, there has been evidence over the past 25 years of the link between good state high schools and property prices. It all started with a rapid increase in demand for homes in areas close to the Applecross Senior High School. Then, some 10 years later, the Rossmoyne High School came to be recognised as a top performer, leading to a big boost to property prices in that suburb.
 
More recently, Willetton Senior High School, the state’s largest public school, has been named as one of Perth’s top state schools, and has even been recognised internationally. Inevitably, this has impacted he suburb’s property market. In the past 10 years, Willetton’s median property price grew at an annual average of 4.3%. - outstripping almost all other suburbs in the Perth metropolitan area. In contrast, the growth rate for the entire Metro area was just 1.8% over the 10-year period.
 
In the past five years, Willetton’s median price jumped from $580,000 to $700,000. In fact, the suburb has been named as one of Australia’s most consistent suburbs for growth, enjoying ongoing price increases regardless of economic conditions.
 
Another indication of a suburb with strong demand is how long it takes to sell a property. It takes an average of 55 days to sell a home in Willetton compared to the Perth average of 75 days.
 
Given that homes in Willetton can be more affordable than the other hotspots named by Domain, it’s likely that strong demand from parents for property in the Willetton Senior High School zone will continue. This and the many other attractions of Willetton bode well for the suburb’s future growth prospects. 

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