Property Prices near independent schools soar
New research has indicated that houses located near to independent schools and university campuses both hold value and respond better to economic downturn than other UK properties.
Above average
Findings from a Hamptons International report indicate that the average price of a home within a two-mile radius of an independent school is higher than the UK average.
The average property price in 2014 was £173,500, but the average paid for a property within two miles of an independent school was a staggering £354,000. Furthermore, properties in close proximity to schools have been found to have recovered quicker from the 2007 financial crisis. House prices for property near to independent schools are currently valued at 116% of their 2007 peak, in comparison to 98% for England and Wales combined. [1]
A similar trend was also found in the London housing market. Property prices in the capital are on average 30% higher than they were in 2007. However, for houses closer to independent schools, prices are 66% higher. Properties close to the famous Westminster School are said to be 100% higher than in their peak eight years ago.[1]
Property Prices near independent schools soar
Education, education, location
Figures suggest that in excess of 35,000 overseas students are taught at an independent school within the UK. In addition, 258,000 overseas students enrolled on a university course within the UK in 2013-14, a rise of 4% on the previous year.[1]
The report from Hamptons also revealed the positive effects that universities have on their local economy. Data shows that they contribute to increased house prices and rental growth.
Residential Research Director at Hampton’s, Fionnuala Earley, stated that, ‘for many overseas parents with children studying in the UK this is a catalyst to investing in property-be this a student flat or larger family home.’[1]
Continuing, she said that, ‘for overseas investors looking to buy in the UK our research shows that average property prices within a two mile radius of an independent school have outperformed the national average. Similarly in university towns, capital and rental growth, boosted by student and employer demand alike, continues to offer an attractive proposition to investors.’[1]
[1] http://www.propertyinvestortoday.co.uk/breaking-news/2015/5/property-prices-near-independent-schools-outstrip-national-average