Core Insights - Many families are willing to spend hundreds of thousands of Australian dollars to purchase homes within the catchment areas of top public schools, but higher spending does not guarantee better long-term capital appreciation [1][4] - The analysis by Cotality reveals that while homes in seven out of nine popular school districts have significantly higher prices than similar properties outside the districts, six of these districts have shown weaker price growth over the past 15 years [1][3] Price Premium of School District Homes - In Sydney's North Shore, homes in the catchment areas of Killara High, Willoughby Girls, and Lindfield Learning Village are priced nearly AUD 1.3 million higher than similar homes outside the school zones, yet their capital growth rate over the past 15 years is 126%, lower than the 150% growth of nearby non-school zone properties [3] - In Melbourne, homes in the catchment areas of Princes Hill and University High School have a price premium of AUD 357,000, but their growth rate over the past 15 years is only 82.6%, compared to 106% for surrounding areas [3] Affordability and Demand Shift - As the affordability of premium school district homes declines, demand is shifting to nearby areas outside the school zones, impacting the overall appreciation of school district properties [3] - The report indicates that the price premium for school district homes may decrease over time [3] Variability in School District Home Prices - Some premium school district homes are priced lower than non-school district homes in the same area, such as Cherrybrook Technology High School in Sydney, where the school district home is AUD 155,000 cheaper, and Doncaster Secondary College in Melbourne, where the school district home is AUD 48,000 cheaper [3] Cost Comparison with Private Education - For many families, purchasing a home in a good public school district may still be more affordable than opting for private school education, which averaged AUD 349,000 for 13 years of private schooling in Australia by 2022, with higher costs in Sydney and Melbourne [4] - In six of the nine analyzed areas, the price premium for school district homes is at least AUD 100,000, which, while significant, can still save families a considerable amount compared to years of private school tuition [4]