Prices soar in Qld’s most coveted public school zones

The cost to buy into some of Queensland’s most coveted public school catchments has soared, with many suburbs now recording a family-budget zapping median house price north of $1 million. SEARCH THE LIST

The price of buying into some of Queensland’s most sought-after public school catchments has soared, with many of the most coveted locations now recording a family-budget zapping median house price north of $1 million.

Analysis has revealed that values in many suburbs close to coveted schools have posted double-digit growth in the past year, fuelled by the pandemic property boom and record high interstate migration.

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The REIQ analysis looked at 2020 rankings by Better Education, considered known school hotspots not captured in those rankings and median house value growth recorded by CoreLogic.

Where rankings were lacking in regional areas, sizeable state schools and the immediate suburbs within that catchment were also considered.

In Brisbane, Indooroopilly, which is in the Indooroopilly State School catchment, recorded the biggest price hike, up 36.2 per cent to $1.28 million on the back of 156 sales in 2021 – 33 more sales than in 2020.

That price rise equates to $340,000 in just 12 months, according to the research.

It was followed by Bardon, which is located within the sought-after Rainworth State School catchment.

There, the median house price rose 26.8 per cent to $1.34 million, up from $1.057 million a year ago – a $283,000 increase.

Rainworth State School is one of Queensland’s most coveted public schools

Price growth north of 20 per cent was also recorded in Wishart, Chapel Hill, Robertson, Brookfield, Wilston and West End, with each suburb home to sought-after public primary schools.

Listed for offers over $3.8 million, this sprawling five bedroom house on a 1263sq m block is located within the Rainworth State School and Indooroopilly State High School catchments. It is listed with Place New Farm

It was a similar story for public high school zones that take in Indooroopilly State High and Whites Hill State College, with strong price growth also recorded in surrounding suburbs within the catchments.

“If buyers with a child, or multiple children, can secure a property that is within access of an excellent public school, it can literally save them tens of thousands if not hundreds of thousands of dollars – that would otherwise potentially have to be spent on private school fees,” Real Estate Institute of Queensland (REIQ) CEO Antonia Mercorella said.

“So, there’s no doubt that if a property is located within a highly sought-after school catchment area, some buyers are prepared to pay a premium for it, in order to access free public education.

“We have seen certain areas with particularly well-regarded and high-ranking public schools, where a guaranteed spot at the school becomes a critical factor in the home they wish to buy, and if you have enough buyers attracted to one area and limited stock, it can drive up the suburbs median price quite significantly.”

Houses within the Mansfield SHS catchment are hot property (AAP Image/Richard Waugh)

Place Coorparoo agent Darren Bonehill, who recently sold in Mansfield to a family with young children who are still years away from even starting high school, said location was everything.

“Mansfield High is one of the most sought-after catchments and I have had buyers who have searched in Mansfield, only to lose interest if a property is outside the catchment zone,” he said.

“It is a big area, but there are pockets that aren’t in the actual school zone.

“And after every auction, there are buyers ready to go wanting to be told of anything coming onto the market.”

Alex Jordan of McGrath said it wasn’t just interstate buyers putting pressure on prices within school catchment zones, with properties also selling to expats who had not even relocated yet.

“When you look at how much it can cost to send your child to a private school, or multiple kids, the savings can be significant,” Mr Jordan said.

“And some public schools are performing as well if not better so people are buying a home and paying their mortgage rather than private school fees.

“When you look at the market, many of the areas that have performed well for price, also have very good public schools with good results.”

This whopping seven bedroom Queensland is located within the coveted New Farm State School catchment. It will go under the hammer with Ray White New Farm on February 19.

But it is not just prices in Brisbane that are feeling the heat.

On the Sunshine Coast, house values within the catchment of Sunshine Beach State School are up 26.6 per cent, while they soared 23.1 per cent within the Chancellor State College precinct.

On the Gold Coast, house prices within the Miami State School catchment have soared by as much as 40.4 per cent, hitting $1.3 million.

House values within the Palm Beach-Currumbin State High School zone have also skyrocketed by 33.3 per cent in 12 months, while in Varsity Lakes, which is within the zone for Varsity College, prices rose 18.6 per cent.

Mother-of-two Stacey Scott rents in Varsity Lakes so her daughter Summer can attend Varsity College

Up north, house values in Manunda, which falls within the Trinity Bay State High catchment, rose 15.2 per cent, while in Townsville, the sought-after Railway Estate State School catchment saw house values rise 19.2 per cent while houses in Gulliver, which is in the Pimlico State High zone, rose 7 per cent.

Every year out-of-catchment parents camp outside the coveted school in the hope of landing a place for their offspring.

Parents camped outside Pimlico State High School overnight in 2020 to secure their children a spot for 2021.

Ms Mercorella said that in addition to free education, there were various reasons people were buying, renting and investing in properties within school catchment areas.

“Due to the number of years children spend at school, it stands to reason that properties within school catchment areas are tightly held as families generally wish to stay put for the duration of their children’s schooling – which can limit the stock coming onto the market,” she said.

“Many families choose to rent within their desired school catchment area instead of buying, and again, they are more likely to be long-term tenants – an attractive proposition for investors.

“Some are even “rentvesting” – investing in a property elsewhere at a more affordable price point in order to get on the property ladder, while still securing their school spot by renting within the catchment.”

Real Estate Institute of Queensland CEO Antonia Mercorella.

Ms Mercorella warned against drawing too close a connection between a suburb’s median house price and its corresponding school catchment area, adding that median house prices had risen across most school catchment areas.

“This is in alignment with the rising property market and a reflection of the high levels of migration to Queensland,” she said.

“Highly-regarded public schools are often well-established, having built a reputation over a number of years, and so are not popping up suddenly and creating new demand for their suburb overnight.

“Price growth comes down to a number of contributing factors and market forces.”