One thing that is often overlooked by new real estate investors is the importance of school district. No matter, if you plan to fix and flip or rehab and hold long-term, the school district can have a huge impact on your investment. There are many towns with multiple school districts, which can drastically affect prices.
One local example in the Philly suburbs is Wayne. Wayne is actually made up of 3 different counties (Chester, Delaware & Montgomery) and as such three school districts. This not only affects how much your tax bill is every year, but also the resale value of an investment project.
2017 School District Ranking from Niche.com
Abhi Golhar on RealEstateDealTalk.com reminds investors of the importance of good school district in a recent article on Forbes. He also has some other good tips for anyone looking to buy an investment property, Core Concepts Of Making A Wise Real Estate Purchasing Decision.
Dig into details on schools in your preferred area, regardless of whether you have children or not. Find out how the schools are rated as compared to others in the district and whether there are ongoing issues with enrollment.
It’s very important to remember that potential buyers with children will want a home near top-quality schools. The better the schools in your area are, the higher price you are likely to receive for your renovation project.(emphasis mine)
It’s a great reminder that checking and comparing school districts should be part of your due diligence as a real estate investor.