Whether you’re a property investor or are looking to buy your next (or first) home, there are so many things to take into account before making a purchase.

Sure, the location, amenities, and transport are all important factors that affect a property’s value.

But, did you know that a well-rated school can also do wonders for property value?

In fact, new data from Domain shows that school catchment zones can actually have a significant influence over how quickly property prices grow.

That’s because some people are willing to pay a significant premium to be located within some primary and secondary school zones.

In Sydney, competition for places in preferred school zones has pushed property prices in some areas far above the city’s median.

And with Sydney’s elite private schools costing parents up to an enormous $41,090 per year, per child, it’s understandable that the city’s top-performing public schools are in high demand.

Domain Group’s latest 2023 School Zones Report shows that while house prices have increased annually across 66% of primary and 69% of secondary school catchments, this is a weaker outcome relative to other major cities across the country.

pupils talking in school next to school lockers

But the data was anticipated given Sydney is leading Australia’s housing downturn, having fallen the furthest from its respective house price peak.

While the top school catchments are spread across Sydney, they largely favour areas that are growing and offer affordability, with the majority sitting below the overall Sydney house price.

Interestingly, house price growth varies between neighbouring school catchments.

Artarmon Public School catchment has seen the largest annual increase at 44%, while prices in the nearby North Sydney Public School in Waverton dropped 13%.

The report also reveals that annual house price growth in 46% of primary and 44% of secondary school catchments analysed surpasses the respective suburb price growth, with 88% of primary school and 95% of secondary school catchments seeing up to 10% more growth compared to the suburb they are located in.

Here are the high school and primary school catchment areas which have come out on top for Sydney.

Syd Suburb3

Best suburbs in Sydney for high schools

The most significant increase in house prices was seen in the Oberon High School catchment area in the Central Tablelands region of NSW.

Median property prices in the catchment area have shot up a huge 31% year-on-year to a new median of $550,000.

In second place, and some distance behind is Riverstone High School on the northwest fringes of Sydney with houses in the catchment area rising 18.4% over the year to a new median of $1.16 million.

In third place, with a 17.2% increase in house prices, was the Elderslie High School zone in southwestern Sydney with a new median of $1.02 million.

Suburb School Name Median Property Price YoY
1 Oberon Oberon High School $550k 31.00% ↑
2 Riverstone Riverstone High School $1.16M 18.40% ↑
3 Elderslie Elderslie High School $1.02M 17.20% ↑
4 Mount Annan Mount Annan High School $1.005M 16.60% ↑
5 Bossley Park Bossley Park High School $1.18M 15.40% ↑
6 Narellan Vale Elizabeth Macarthur High School $1.05M 14.40% ↑
7 Glenmore Park Glenmore Park High School $1.905M 14.20% ↑
8 Nirimba Fields Wyndham College $1.1M 14.10% ↑
9 Hinchinbrook Hoxton Park High School $1.025M 13.80% ↑
10 Picton Picton High School $905k 13.20% ↑

Best suburbs in Sydney for primary schools

For Sydney’s primary schools, the data reveals that houses located in the catchment area for Artarmon Public School on Sydney’s lower north shore experienced the biggest price increase, of a huge 43.5% over the 12 months to July 2022.

The new median price for the suburb is $3.345 million.

In second place, with a median house price of $1.212 million, is the catchment area surrounding Darcy Road Public School in Wentworthville in Sydney’s west.

This school zone saw house prices jump 32.9% over the period.

With a house price hike of 26.8% to $1.191 million, the catchment area for Marsden Park Public School to the north-west of Sydney’s CBD came in third place.

Suburb School Name Median Property Price YoY
1 Artarmon Artarmon Public School $3.545M 43.50% ↑
2 Wentworthville Darcy Road Public School $1.213M 32.90% ↑
3 Marsden Park Marsden Park Public School $1.1915M 26.80% ↑
4 Wentworth Falls Wentworth Falls Public School $1.1325M 24.50% ↑
5 Glenmore Park Surveyors Creek Public School $1.226M 22.60% ↑
6 Mount Lewis Mount Lewis Infants School $1.258M 22.60% ↑
7 Bonnyrigg Heights Bonnyrigg Heights Public School $1.11M 22.00% ↑
8 Erina Woodport Public School $1.17M 21.90% ↑
9 Balmain East Nicholson Street Public School $3.345M 21.50% ↑
10 Cobbitty Cobbitty Public School $1.0825M 21.30% ↑
Syd Suburb

The bottom line

When it comes to your property value, there are many factors that weigh into the final number.

Understanding what affects the value of your investment property means you’re better placed to make the best financial decisions when it comes to renovation, improvements, or even selling.

Equally, the information also helps you to buy the best investment-grade property available to suit your needs.

After all, you want an investment property to tick most, if not all, of these boxes.

About Michael Yardney
Michael is a director of Metropole Property Strategists who create wealth for their clients through independent, unbiased property advice and advocacy. He's been voted Australia's leading property investment adviser and his opinions are regularly featured in the media.