Nashville Schools and Home Values

  One of the toughest questions a Realtor has to deal with usually involves an out of state buyer asking the Realtor to tell them about certain socio economic...

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Nashville Schools and Home Values

Posted by Gary Ashton: RE/MAX ADMIN on Friday, August 20th, 2010 at 12:20pm.

 

One of the toughest questions a Realtor has to deal with usually involves an out of state buyer asking the Realtor to tell them about certain socio economic features regarding a particular home or subdivision and which is the best school in the Nashville area for their kids. 

As Realtors we can not give information that may be seen as "steering" the client to a particular neighborhood or area but we can comment on the value of the home and also provide links to assist the buyer make an informed decision.

Useful Links

if you are looking for information about Nashville Schools then this link will provide you great information about the public schools available and provides a link to the State website which will help you research the academic performance of the children that attend those schools. There are also links to the numerous private schools in the Nashville, Brentwood, Franklin and Hendersonville areas.

Schools Across The Country

I think that one thing that people are concerned about when moving to a new area is the quality of the education system that is available to them. I think it is fair to say that the school system can have a powerful effect on the desirability of a city or an area when people are thinking of moving to.  GreatSchools.net provides a great national database of schools across the country which can be useful if a buyer is considering two or three potential locations to move to.

Home Values and School Systems

One way that the school system can impact the value of real estate in general is the perception of the residents and potential home buyers moving o the area. Any research regarding Williamson County schools for example, will show that they have an excellent reputation and achieve high scores based on the academic performance of the pupils. This maybe a deciding factor when comparing a home in Franklin TN and a home in another city. The good school system then can be seen to adding value to the home.

Tax Revenue and Good Schools

This has the effect of increasing the demand for that home, as apposed to other areas, and as a result increases the list price of the home. When the home sells, the property will eventually be given a tax appraisal, and if the property continues to appreciate then the higher resale value leads to a higher property tax. The property tax is then used as a financial resource for the public schools. The higher the tax value then the more money is available to put invested in the school system.

Now you can see that a great school system will create demand for the area which in turn is reflected in the demand for homes in that area. The increased demand leads to higher prices and more tax revenue which enables the whole system to continue to feed the cycle.

This may help you when considering homes that on paper look exactly the same. They may even be new construction from the same builder but in different parts of the city but have different list prices. The one that is listed at a higher price would have to reflect the higher price the builder had to pay for then land and this is because of the location and the more desirable location is influenced by such factors as local infrastructure, the scenic beauty and of course the school system.

Resale Values

Even if you are not considering having children or do not have kids of a school age, the value of being in a good school system still has to be considered because of the resale value when it comes to selling your Nashville home.

 

Gary Ashton

The Ashton Real Estate Group of RE/MAX Advantage

The #1 Real Estate Team in Tennessee and #4 RE/MAX team in the world!

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