Santander data shows proximity to schools is becoming a key factor in property decisions
Parents face a 5% premium on properties within the catchment areas of the top 500 state primary schools outside London – an additional £21,215 on average compared to homes in the same region, according to new data from Santander.
The figures highlight a shift in UK homebuyer priorities, with proximity to schools emerging as a key factor in property decisions. This consideration now surpasses traditional concerns such as transport links and proximity to friends and family, indicating a significant trend in the housing market.
Santander’s research shows a growing number of parents willing to pay extra to secure a place for their child in a top state primary school outside London, with nearly two-thirds (63%) of parents saying they have either paid or would pay a premium to live within their preferred catchment area.
This marks a substantial increase from 2019, when only 26% of parents were willing to pay extra. Additionally, nearly a fifth (18%) of parents would consider selling their home to move to a desired catchment area, up from 13% in 2019.
On average, parents reported they would be willing to pay 12% extra to live within the right catchment area, making the current 5% premium seem more affordable than expected.
Santander’s findings also reveal the lengths some parents are prepared to go to secure a school place. A quarter (26%) start thinking about schools either when expecting a child or just after birth. Also, parents are, on average, willing to relocate up to 25 miles to move to their preferred catchment area, with 10% considering a move of over 40 miles. In addition, 19% of parents are willing to cut back on holidays, and 20% would stretch their finances to afford the move.
The pressure to secure a school place is also impacting parents’ mental wellbeing, with 20% reporting stress, 10% struggling to concentrate at work, and 10% experiencing sleepless nights.
“It’s clear that nabbing a sought-after primary school place for your child is playing an increasingly significant role in the property market for parents,” said Graham Sellar (pictured), head of mortgage development at Santander. “With almost a fifth of people up for taking the plunge and moving homes to secure their child a school place, it’s no wonder that this has created a sizeable ‘school catchment premium.
“However, with parents willing to pay more than double the current premium to get into the area, along with prices remaining largely flat over the past 12 months and mortgage rates lower than last year’s highs, parents might find moving more affordable than initially expected.”
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