Field Guide to Schools And The Home Buying Decision
(Updated August 2009)
Of all the local neighborhood amenities that can influence a buyer's decision to purchase a home, proximity to good quality schools is one of the most influential. According to the 2008 National Association of REALTORS® Profile of Home Buyers and Sellers, 27% of home buyers listed school quality and 21% listed proximity to schools as deciding factors in their home purchase. This Field Guide includes articles and studies on the importance of schools for home buyers and how schools impact local property values, along with a sampling of Web sites that provide data on school districts. (F. Heller, Manager, Virtual Library & Archives)
Schools & the Homebuying Decision
Public School Reform, Expectations, and Capitalization: What Signals Quality to Homebuyers?, (Southern Economic Journal, Apr. 2009). Q
Parents, peers, or school inputs: Which components of school outcomes are capitalized into house value?, (University of Cincinnati, Sept. 2008).
Neighborhood affluence, school-achievement scores, and housing prices: Cross-classified hierarchies and HLM, (Journal of Housing Research, Vol. 16, No. 2, 2007). Q
Capitalization of the quality of local public schools: what do home buyers value?, (Federal Reserve Bank of Philadelphia - Working Paper, Aug. 2006)
High performance schools: Green/sustainable school buildings create healthier students, happier parents, and more attractive Smart Growth neighborhoods, (On Common Ground, Winter 2005).
Housing and school choice, (Affordable Housing Bulletin (King County, WA), Dec. 2002).
Which measures of school quality does the housing market value?, (Journal of Real Estate Research, Vol. 18, No. 3, 1999).
Neighborhood school characteristics: What signals quality to homebuyers?, ( Federal Reserve Bank of Dallas Economic Review, 4th Quarter 1996).
Impacts of Schools on Property Values
The impact of school district consolidation on housing prices, (National Tax Journal, Dec. 2008). Q
Do good schools or good neighbors raise property values?, (UCLA / Dartmouth College, Apr. 2004).
School quality and property values in Greenville, South Carolina, (Clemson University, Apr. 2003).
Schools and housing markets: An examination of school segregation and performance in Connecticut, (University of Connecticut, Oct. 2002).
What's in a grade? School report cards and house prices, (University of Florida - Department of Economics, May 2002).
School performance and housing values: Using non-contiguous district and incorporation boundaries to identify school effects, (National Tax Journal, June 2001). Q
House prices and the quality of public schools: What are we buying?, (Federal Reserve Bank of Philadelphia Business Review, Sept./Oct. 1998).
"Selling" the Schools
Moms rate schools third as reason for moving, (Realty Times, Apr. 8, 2008).
Podcast: Intelligent schools key to smart growth, (NAR President's Report, Apr. 2007).
Public Schools — A Toolkit for REALTORS® , (National Association of REALTORS®, 2005).
Reading, writing, and real estate: REALTORS® working to improve public education, (On Common Ground, Winter 2005)
New Schools for Older Neighborhoods: Strategies for Building Our Communities' Most Important Assets, (National Association of REALTORS®/The Local Government Commission, Jan. 2002).
Knowing the community before selecting a new home, (University of Illinois Extension Fact Sheet, 2001).
Reading, writing, and real estate: Forget the golf couse. It's the school that's the draw, (Planning, May 2000). Q
Sell schools, not test scores, (REALTOR® Magazine, Jan. 2000).
School Quality Information on the Web
There are numerous sources on the Web offering data on schools and school districts. The reports they provide vary in detail and cost, but almost always have useful information for home buyers and REALTORS®. The following are a few sample Web sites:
In the Find a Neighborhood feature, school district rankings, student-to-teacher ratios, average education spending per student, and other information can be found when searching for a particular community. Here, for example, is the report for the Beech Grove neighborhood in Indianapolis, IN.
National Center for Education Statistics
The Center publishes information on all levels of education, from preschool to graduate school.
Private Companies
A listing of private companies around the U.S. that provide reports on school districts is available on the Open Directory Project.
State and local sources
Many states and local areas also make their school district info available online. Web sites of the state departments of education are a good start, along with those of local newspapers. For example:
- School District Profiles, (Massachusetts Department of Education).
- Florida School Indicators Report, (Florida Department of Education).
- School Guide, (The Washington Post). -- Click on "All School Profiles" underneath the School Guide banner
- Illinois School Report Card, (The Chicago Tribune).
eBooks & Other Resources
eBooks.realtor.org
The following ebooks and digital audiobooks are available to NAR members:
Community by Design: New Urbanism for Suburbs and Small Communities
Field Guides & More
These Field Guides and other resources in the Virtual Library may also be of interest:
Field Guide to Commuting and the Homebuying Decision
The inclusion of links on this Field Guide does not imply endorsement by the National Association of REALTORS®. NAR makes no representations about whether the content of any external sites which may be linked to this Field Guide complies with state or federal laws or regulations or with applicable NAR policies. These links are provided for your convenience only and you rely on them at your own risk.
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