Families are paying substantial premiums to secure sought-after public-school catchments—but buyers are being warned to check the boundary and understand the price.
| OCTOBER 2026 | RESIDENTIAL PROPERTY | PRESTIGE PROPERTY |
From Sydney to Perth, families are paying significant premiums to live within sought-after public-school zones—and in some locations, simply being on the right side of a catchment boundary can make a substantial difference to property value.
Analysis from national property valuation firm Opteon highlights the growing influence of highly regarded public schools on residential values. Buyers are paying premiums of around 10 per cent in several sought-after catchments and substantially more in some tightly held locations.
Anna Porter, Principal of Suburbanite, said school zones had become an increasingly important part of the property equation for Australian families.
“We always say location drives property value, but for families with school-aged children, the right school can be just as important as being close to the beach, transport or the CBD,”
ANNA PORTER | Principal, Suburbanite
“Two very similar homes can be only a few streets apart, but if one gives a family access to a highly sought-after public school and the other doesn’t, buyers can place a very different value on them,” Ms Porter said.
Gabriel Carreno, Director – Residential Prestige at Opteon, said the influence of a high-performing school can prove more durable than other location benefits.
“Unlike lifestyle or amenity premiums, which can shift with taste or demographics, proximity to a high-performing school tends to compound over time as the reputation of the institution grows.”
GABRIEL CARRENO | Director – Residential Prestige, Opteon
Sydney premiums can run into seven figures
Sydney’s North Shore provides perhaps the most dramatic example. Analysis cited by Opteon found houses within the combined catchments of Killara High School, Willoughby Girls High School and Lindfield Learning Village held a median value approximately $1.3 million—or 39.8 per cent—above houses just outside the boundary.
“Sydney shows just how powerful the school-zone effect can become,” Ms Porter said. “When families are competing for a limited number of homes within a tightly held catchment, they’re not just buying the property. They’reeffectively buying access for the school as part of the package.”
“We consistently see buyers willing to pay well above what the bricks and mortar would justify in isolation. The school is effectively being capitalised into the land value, and that premium is often durable across market cycles.”
GABRIEL CARRENO | Director – Residential Prestige, Opteon
Premiums are being recorded across Australia
The school-zone effect extends well beyond Sydney. Opteon’s analysis identified sizeable premiums across four other capital-city markets:
In Melbourne, houses within the Princes Hill Secondary College and University High School catchment commanded a premium of approximately $357,000, while the Balwyn High School catchment continued to attract premiums of around 8 to 10 per cent above surrounding areas.
In Brisbane, properties within the sought-after St Lucia-Indooroopilly education corridor were attracting premiums approaching 10 per cent compared with similar properties outside the zone.
In Adelaide, properties within the Glenunga International High School and Marryatville High School zones were routinely trading at premiums close to 10 per cent, according to Opteon’s analysis.
In Perth, comparable homes within the Shenton College and Churchlands Senior High School catchments could attract minimum premiums of around 10 per cent. Even vacant land within desirable school zones could command an additional $50,000 to $70,000.
“What this tells us is that the school-zone effect isn’t just a Sydney or Melbourne phenomenon. We’re seeing it across the country.”
ANNA PORTER | Principal, Suburbanite
“Where there is a highly regarded public school and limited housing available within its catchment, family demand can translate very quickly into property value,” Ms Porter said.
Why families may pay more
The financial equation becomes particularly interesting when the cost of private education is considered. Research cited by Opteon estimates a Sydney family could need $401,512 over 13 years for independent schooling for one child beginning school in 2026. For families with two or more children, cumulative independent-schooling costs can exceed $800,000.
Against those figures, Opteon notes that paying an additional $300,000 to $500,000 for a home within a highly regarded public-school catchment could potentially make financial sense for some families.
“That’s when the conversation becomes really interesting,” Ms Porter said. “If a family is looking at hundreds of thousands of dollars in private school fees, they may decide they’d rather put some of that money towards a property in a great public-school catchment.”
“The difference is that school fees are an expense, whereas the additional money paid for a property is going into an asset they own although you still have to be very careful not to overpay.”
GABRIEL CARRENO | Director – Residential Prestige, Opteon
Adding “For some families, the premium attached to a desirable public-school catchment may form part of a much broader financial decision about housing and education.”
“From a property perspective, the important consideration is understanding how much of that benefit is already reflected in the price and whether the premium being paid is supported by the broader market,” Carreno said.
Check the boundary before you buy
There is another potentially expensive consideration for buyers: school catchment boundaries can change. State education departments periodically adjust zones in response to population and enrolment pressures. A rezoning that removes a property from a desirable catchment can affect buyer demand, while being brought into a sought-after zone can have the opposite effect.
That makes confirming the current official school boundary an important part of due diligence.
“Don’t spend an extra $100,000, $300,000 or more on a property because somebody tells you it’s ‘in the school area’.”
ANNA PORTER | Principal, Suburbanite
“Check the official catchment yourself. A boundary can literally run between neighbouring streets, and if access to that school is one of the reasons you’re paying more, you need to know exactly what you’re buying,” Ms Porter said.
For Australian families, the right school can add much more than educational appeal to an address. But while a sought-after catchment can create strong demand and add significantly to a home’s value, Ms Porter said buyers still needed to understand exactly what they were paying for.
“The smartest purchase isn’t simply getting into the best school zone. It’s understanding the premium you’re paying, whether that value is already reflected in the property and whether the home still makes sense for your family and your finances.”
ANNA PORTER | Principal, Suburbanite
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