When it comes to picking the right place to live, one concern that many parents have is choosing a home where their children will be able to attend a quality school district. This is no idle concern—a survey by realtor.com found that “half of the home-buying population is willing to pay more than their intended budget to get into the right school district.” And this is often the case, as home prices tend to increase in areas with more in-demand schools.
As a result, it’s no surprise that many who are willing to pay extra to get their kids into the right school often require a larger loan from mortgage companies. And while this may seem like an additional financial burden, there is evidence that a higher quality school district provides many benefits to home buyers that outweigh the additional financial cost.
In addition to obtaining a higher quality education for one’s children, another oft-cited benefit of living in areas with good schools is the stability provided to a community. Living in such areas is also beneficial for those who eventually wish to sell their homes, as home value in these areas tends to increase. Mortgage companies find that homes in these areas tend to be in high demand, even when other areas are experiencing a slowdown.