Where Can You Spend the Least on a Home and Get Great Schools?

Several external factors impact home values, but perhaps none is more important than the quality of nearby public schools. The National Association of Realtors (NAR) and other real estate experts have long associated property values with school quality. To that end, HomeUnion created a new study identifying the most affordable zip codes in major U.S. metro areas with the best public schools. In Q1 2016, zip codes in the Kansas City, Indianapolis and St. Louis metropolitan areas topped the affordability list, while zip codes in the San Francisco, San Jose and Miami MSAs earned mentions at the bottom of the list.

SchoolMap_FinalforBlog

Source: HomeUnion Research Services

Blue Springs, MO, outside of Kansas City, was named the most affordable zip code (64014) with the best schools. Homes in Blue Springs have a median price of $143,000, while schools in that zip code have an average ranking in the 87.8 percentile by Maponics. The zip code 46060 in Noblesville, IN – a suburb of Indianapolis – ranked second with a median home price of $157,000 and an average ranking in the 84.5 percentile by Maponics. In the southwest corner of St. Louis, MO, the median home price in the zip code 63126 is $160,000 and a high school ranking exceeding the 95.5th percentile by Maponics.

“The quality of public schools is one of the most important factors to consider when buying a home, especially for families,” says Don Ganguly, CEO of HomeUnion. “In many cases, home buyers are willing to pay more to be located in a neighborhood with highly ranked schools, even if it means downsizing into a smaller home.”

Specifically, home buyers should consider a school’s test scores when making the decision to buy a home if they have children or plan to have children in the future, according to U.S. News & World Report. Graduation rates and student-to-teacher ratios also provide a deeper assessment of school quality.

Remote residential real estate investors require similar insight into school quality since they’re trusting someone else with their money. To ensure that investors make the best financial decisions, each investment home listed for sale on HomeUnion’s investor portal features comprehensive data on neighborhoods, including public schools information. The website goes a step further in assessing investment quality by displaying statistics on job growth, crime, nearby retailers, community services and other information.

Below is a list of the most affordable zip codes with the best schools:

Metro Area Zip Code School Rating Q1 2016 Median Home Price Submarket
Kansas City 64014 87.8 $143,000 Blue Springs, MO
Indianapolis 46060 84.5 $157,000 Noblesville, IN
St. Louis 63126 95.5 $160,000 Southwest section of St. Louis, MO
Philadelphia 18960 85.3 $171,000 Sellersville, PA
Chicago 60301 91.3 $172,000 Oak Park, IL
Cleveland 44147 90.6 $179,000 Broadview Heights, OH
Austin 78705 87.8 $187,000 Central section of Austin, TX
Raleigh 27511 81.5 $188,000 Cary, NC
Memphis 38654 90.6 $190,000 Olive Branch, MS
Atlanta 30519 87.2 $194,000 Buford, GA
Charlotte 28079 81.6 $196,000 Indian Trail, NC
Dallas/Fort Worth 75023 81.1 $201,000 Plano, TX
Houston 77450 89.8 $202,000 Katy, TX
Minneapolis 55020 84.6 $209,000 Elko New Market, MN
Cincinnati 45140 87.0 $218,000 Loveland, OH
San Antonio 78259 89.8 $226,000 North San Antonio, TX
Tampa 34685 81.1 $246,000 Palm Harbor, FL
Jacksonville 32259 88.3 $268,000 St. John’s, FL
Milwaukee 53122 92.3 $273,000 Elm Grove, WI
Denver 80122 80.2 $279,000 Centennial, CO
Portland 97035 89.0 $320,000 Lake Oswego, OR
Seattle 98011 84.0 $360,000 Bothell, WA
Orlando 34786 81.0 $361,000 Windermere, FL
San Diego 92126 89.1 $397,000 Mira Mesa section of San Diego
Orange County 92688 89.4 $425,000 Rancho Santa Margarita, CA
Inland Empire 91737 80.7 $455,000 Rancho Cucamonga, CA
Los Angeles County 91020 93.2 $490,000 Montrose, CA
Oakland 94551 83.5 $525,000 Livermore, CA
Miami 33158 82.0 $570,000 Pinecrest, FL
San Jose 95035 80.4 $590,000 Milpitas, CA
San Francisco 94947 80.3 $612,000 Novato, CA

Source: HomeUnion Research Services, Maponics

 

5 Comments

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Jill May 17 2016 - 9:37 PM
5 towns in Texas yet here in NC all I see is Texas plates day after day which means they're likely transplants for some reason or another. Dont get me wrong - NC is great! But TX supposedly has the better economy, jobs, companies, home prices, etc, etc. You wouldnt know that by the counts of the TX plates in NC rush hour each day!
    Shawn Bethke May 23 2016 - 9:25 AM
    Jill, I work in the staffing industry in DFW. Not sure that ALL the hype about Texas lives up to its billing. We do have some of the lowest unemployment in the US. Its around 3.7% in the DFW area. Our Homes Prices per square foot seem to float around $100.00 a square foot, so relatively low. However property taxes on $400,000 home are around $10,000 dollars a year. While our house prices have stayed low our property taxes continue to soar! The companies in DFW are the same National companies in each market. What makes Texas unique is the Pride of a beautiful state, and openness and friendliness displayed by Texans. Driving down the road or through the neighborhood its not uncommon for strangers to waive or just say hi. Its the Texas Way!!
    zzz May 23 2016 - 9:40 AM
    Im in TX, lived here my entire life. All we see now are CA plates. Perhaps that's the motivation to pack up and move east.
anne May 19 2016 - 5:15 AM
I Agree with Jill. Living in Georgia and traveling between NC, SC, AL and Fl often I see more and more out of state tags daily. these are not just visitors and are people who are moving into these states rapidly. Texas and Missouri tags seem to dominate the number of out of state tags I see on the expressways as well as side streets. these cars are mostly a single passenger so it would not suggest that it is a family just driving through or vacationing. It suggest someone that is working and has moved to the areas. I also cannot understand the number of California cities that are listed!! Nor can I understand ANY Colorado city that would be anywhere NEAR Denver. I know a family who moved from Peachtree City, Ga to just outside of Denver and someone has lost their minds in the pricing of the housing market any where NEAR Denver. the price is about $400,000. plus too low. The test scores in any California city combined with housing prices is the best laugh I have had in months!! There are many small towns, cities and suburbs in GA, NC, SC, and other states that would beat out anything in California any day of the week...test scores and pricing on housing! Somebody needs to check the facts and put out a REAL chart that is based on FACT not FICTION !!
Fanny May 19 2016 - 5:24 AM
Living in Georgia and traveling between NC, SC, AL and Fl often I see more and more out of state tags daily. these are not just visitors and are people who are moving into these states rapidly. Texas and Missouri tags seem to dominate the number of out of state tags I see on the expressways as well as side streets. these cars are mostly a single passenger so it would not suggest that it is a family just driving through or vacationing. It suggest someone that is working and has moved to the areas. I also cannot understand the number of California cities that are listed!! Nor can I understand ANY Colorado city that would be anywhere NEAR Denver. I know a family who moved from Peachtree City, Ga to just outside of Denver and someone has lost their minds in the pricing of the housing market any where NEAR Denver. the price is about $400,000. plus too low. The test scores in any California city combined with housing prices is the best laugh I have had in months!! There are many small towns, cities and suburbs in GA, NC, SC, and other states that would beat out anything in California any day of the week...test scores and pricing on housing! Somebody needs to check the facts and put out a REAL chart that is based on FACT not FICTION !!

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