Good Ofsted ratings for local schools boost house prices

High Ofsted ratings for English schools are helping to drive up house prices.

Where a school boasts a No.1 rating from the schools inspector, average house prices are almost £40,000 more than areas where the Ofsted rating is lower.

Confused.com analysed Ofsted data to find how much home buyers are paying to live within the catchment area of the best-performing schools.

The most sought-after postcodes for top schools are in London, Manchester, Liverpool and Leeds, according to the study.

Fierce competition for school places

In England, the competition for places at the best state schools remains fierce. Even living within a catchment area is no guarantee of a place, but it's still the easiest way to secure your child's spot at the best local school.

The confused.com research analysed the Ofsted ratings of more than 20,000 primary and secondary schools in England, concluding that average house prices increase the better the local school is.

Where a school is rated outstanding, the estimated house price by Ofsted rating is £331,605, dropping to £292,933 for good schools; 253,121 for those requiring improvement; and £235,242 for schools rated inadequate.

North-east has best value

In London, home buyers could pay up to £1.7 million to access the best local state school, but Sunderland offers the best value for money when choosing a home close to a top-rated school - house prices in the north-east city cost on average £114,157.

A spokesperson for Confused.com said: "Buying a home near a good school is something parents start thinking about years before the time comes.

"But what they might not realise is how much this is going to cost them. We found that those looking to move near a school with an ‘outstanding’ Ofsted rating could be paying almost £40,000 more than those rated ‘good’ on average.

"There is a lot to consider when applying for schools, and it can be quite confusing for parents who might not know where to start."