Why School Ratings and Home Search go hand in hand?

Everyone understands the importance of a good school system.  But, we often forget about the role it plays in building our home value.  With the emergence of school rating agencies such as GreatSchools, people are getting savvier about comparing the local school systems before making any home buying (or renting) decision.  This means that the local schools will play a very critical role in the marketability and valuation of your home.  This can be illustrated by taking the example of Basking Ridge, NJ.

Basking Ridge is a town nestled in the Somerset Hills region of Somerset County, New Jersey.  The excellent school system of this town is by far the single largest reason for this town to be steadily rated as one of the best towns in New Jersey.  The school system in basking Ridge is consistently rated 9 or 10 (on a scale of 1 to 10, 10 being the best) by GreatSchools.  The median sale price of a home in Basking Ridge has gone up from $540k in Aug-2010, to $596k in Aug-2015.  That is an increase of 10% over the last 5 years.  For those who have seen the real estate boom days, this may not seem much.  But, when you consider that the median home price in New Jersey has increased from $312k to a mere $313k during the same period, you realize the vital role school system plays in the valuation of your home.

In the coming years, school ratings will play an ever important role in the home search process, as home buyers now have tools at their disposal that allow them to search for homes based on desired minimum school rating.  Take for example the newly launched home search engine ThinkHome.com.  This website allows you to specify the minimum desired school rating for each of the 3 types of schools (Elementary, Middle and High School).  User’s search result will include only those homes that meet or exceed the minimum rating specified by the user.  Thus, tying School Ratings to Home Search.

So, for the folks who are looking to buy a new home, let’s get smarter in our home search process and pay the necessary attention to school ratings.  If you own a home already, let’s make it loud and clear to the local school authorities that you care about the ratings.  Welcome to the new era in home search!