The Relationship Between School District And Neighborhood Value

When looking for your next home, you'll probably specify the area, maybe the neighborhood, and perhaps even specific landmarks you need to be near.  

As a parent, that landmark may be a specific school district for your child(ren) to attend. Once you find that district, you discover the homes to your liking are out of your budget.

Did you know that there's a direct correlation between a school district and its surrounding neighborhoods?

In this article, we will discuss how this relationship will impact the cost of an area.

Property Assessed Value And Taxes

Property Assessed Value is the "dollar value of your home." 

It's the number that they come up with after inspections, market comparisons, appraisals, etc.   

The assessed value of your home is what will determine the property taxes. 

Property Taxes pay for local services or services deemed vital to a community's daily operations. 

Some standard local services in Texas are:

• Public Schools 
• Libraries 
• Playgrounds
• City Streets 
• County Roads
• Emergency Services
• And More

The Relationship

The simplest way to put it? The better the school, the more expensive the area and vice versa. 

Everyone has the same idea about these schools and neighborhoods and hurry to get a property there. This sharp increase in demand results in a sharp rise in the price of homes. 

As we discussed earlier, the higher the property value, the higher the property taxes. And because property taxes fund local services, which public school districts fall under, schools in these areas get more funding. 

And they are of higher quality because of that funding. 

Conclusion

If you want a quality education or neighborhood, you have to be ready to pay for it. If you're not sure if you're on track to afford these places, then have a real estate check in with us. 

We'll give you the tools and resources to help you reach your real estate goals.