Brokerage

Public or private, good schools cost money

Trulia analyzes factors homebuyers should consider
Published on Aug 13, 2014

Parents who think they're coming out ahead by paying less for a home in a neighborhood with substandard schools and sending their kids to private school might want to run those numbers again, according to a recent analysis by Trulia.A couple buying a $300,000 home will have effective monthly housing costs of $1,326. Tack on $912 a month more for private school tuition (the national average, for one kid), and now you're paying $2,238 for housing and school costs every month -- enough to buy a $520,000 home in the same neighborhood, Trulia found."That’s a lot of extra house -- or a neighborhood with much higher-rated public schools -- if you’re not paying for private school," Trulia Chief Economist Jed Kolko noted in a blog post.Of course, homes served by highly rated public schools sell for a premium -- Trulia found a GreatSchools rating of 9 or 10 correlates with a 32 percent higher price per square foot.Applying that premium to a 2,000-square-foot house valued at $...

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