The old adage for real estate was “location, location, location.”
However, I have said for umpteen years, “Location, Location, School District.”
In choosing a community to live in, families prioritize factors such as location, transportation, safety, things to do, parks, lower taxes, and good schools. Real estate taxes are a major factor, with the schools portion comprising over 60% of the total. However, towns with above average curriculums generally have school budgets that pass.
In towns with superior education systems, real estate consistently provides a better return than any other investment over the long run, with some exceptions in more transitional or vacation areas where prices are more supply and demand oriented.
Adding to my conclusions was the article from Friday June 5 in the Great Neck News, that ranked a number of our elementary schools, by Nich.com, in the top 100 (in the top 99 percent echelon) in the nation as well as in New York State.
The Value of Education in Real Estate
The correlation between education and real estate values
Studies have shown that towns with superior education curriculums tend to have higher real estate values. Families are willing to pay more for homes in communities with great locations, superior transportation, low crime rates, things to do, parks, lower taxes, and superior schools.
The impact of test scores on real estate values
Higher test scores in math, English, and science contribute to the value of local real estate in towns with strong education systems. When home prices decrease, towns with high education standards tend to recover faster and increase at a better pace than areas with lower scores.
The income of individuals from towns with superior education
People from towns with superior education curriculums tend to have higher average incomes compared to those in areas with lower-performing schools. This can be due to the amount of money provided by the state and federal government to these areas.
Improving education to increase real estate value
To increase the value of real estate over the long haul, communities must focus on improving their education curriculum to raise overall test scores. Graduating many smart people is great, but creating higher-paying jobs to retain those individuals and slow down the “Brain Drain” is equally important.
Conclusion
Investing in education can pay off in the long run for both individuals and communities. By prioritizing education, communities can increase the value of their real estate and attract higher-paying jobs to retain their top talent. The following links are to two articles you might want to read that will provide some ideas on the whys and contributing factors to the disparaging differences in our education:
http://www.nytimes.com/2013/11/06/business/a-rich-childs-edge-in-public-education.html?_r=0
http://sitemaker.umich.edu/salas.356/more_money__better_grades
If you have any questions about School District, you can contact us at +1(516) 829-2205 and +1(516) 647-4289. Additionally, you can also find us on various social media platforms such as Google My Business Profile, Facebook, Twitter, Linkedin, Instagram, YouTube, and Pinterest.
