Commenting on the figures, Martin Gahbauer, Nationwide's chief economist, said: "Following recent revelations around the lengths that some parents are prepared to go to get their child a place at a good school, we have revisited our research examining how property prices are influenced by the performance of local schools.
"Using the Nationwide House Price Index and the Primary School Performance Tables published by the Department for Children, Schools and Families (DCSF), we have assessed how property prices vary in relation to the proportion of 11 year olds achieving Level 4 or above in their Key Stage 2 Standard Assessment Tests (SATs) at the nearest school [2]. Our figures suggest that a 10% increase in the SATs pass rate at the nearest school adds on average 3.3% to the price of a typical house, while in some regions of the country the premium can even exceed 4%.
"This is a slight increase from the 2.5% premium revealed in our 2004 special feature. Yorkshire & Humberside continues to attract the greatest percentage premium for better performing schools, with a 10% improvement in pass rate adding as much as 4.6% (over £6,000) to the price of a typical property in the region.
"The South West attracts the smallest percentage premium for school performance, with a 10% improvement in SATs scores adding 2.6% (around £4,500) to the price of a typical property.”
