Study: Metro Atlanta home buyers willing to pay more to live in charter school attendance zone

A report released today suggests metro Atlanta home buyers are willing to pay a premium to live in the primary attendance zones of  certain charter schools.

According to the study by the Georgia State University’s Fiscal Research Center, that willingness led to a rise in home values in those areas.

Charter schools with specific attendance zones lead to higher property values, says a new GSU study. (Photo/Brant Sanderlin bsanderlin@ajc.com

Charter schools with specific attendance zones spur higher property values, says a new GSU study. (Photo/Brant Sanderlin bsanderlin@ajc.com

The study looked at 13 charter schools in APS, Fulton or DeKalb that set priority attendance zones, meaning seats go first to students in a specific area. If those kids don’t fill the seats, enrollment expands to a second zone.

The study compared home values in the priority one and two zones and found the greater chance of gaining admission to the charter afforded in zone one raised property values.

Two of the 13 schools are conversions in which parents at an existing public school voted to embrace charter status; Kingsley Charter Elementary School in DeKalb and North Springs Charter High School in Fulton.

Some of the schools are start-ups where the parents and community members creating and petitioning for the charter defined an attendance area. They include: the Atlanta Neighborhood Charter Schools, Drew Charter and the Museum School of Avondale Estates. Also in the study are DeKalb Path Academy and the KIPP schools, which are part of national charter school network that emphasizes basics and more time on task.

The report notes these charter schools follow a similar admissions process, stating:

As charters, these schools may set enrollment caps that dictate the maximum number of students per grade level. Returning students, siblings of returning students, children of full-time employees, and children of governing board members receive first priority in allocating available slots in each grade. Remaining slots are filled by priority one attendance zone applicants, priority zone two applicants, and so on. If at any point in the process there are more applicants than available slots, then a random lottery determines which applicants receive offers of admission.

The study concludes:

The charter school landscape in Georgia mirrors the national landscape in many important ways, but it also has unique features – charter systems and priority admission zones within designated attendance areas. This report exploits the latter feature to estimate households’ willingness-to-pay for increased probability of admission to charter schools. The results indicate a significant premium associated with being located in priority one zones compared to similar single-family residences in priority two zones.

This suggests households value access to charter schools and the type of neighbors located in priority one attendance zones. Traditional public schools also rely on property tax revenue for funding. These results, therefore, suggest another channel (besides competition) through which charter schools may help improve traditional public schools – increased revenue. The estimated premiums are associated with start-up and conversion charter school priority attendance zones only, with the majority of the sample consisting of start-up charters. These estimates, therefore, do not indicate anything about how households value the other unique feature of the charter landscape in Georgia – charter systems

GSU released this statement today on the study:

The report finds that over a 10-year period home sale prices were 7 to 13 percent higher in areas with the greatest chance of charter school enrollment.

“Although there is extensive research on charter school achievement outcomes, relatively little is known about how the general public values these schools,” said Carlianne Patrick, author of the new report, “Willing to Pay: Charter Schools’ Impact on Georgia Property Values.”

“Georgia presents a unique opportunity for such analysis,” she added.

Unlike most charter schools in the United States where attendance areas are widely dispersed, 13 Georgia charter schools have priority attendance zones, a feature that gives families a greater chance of admission. Families located in priority one zones are more likely to be selected for admission than families in priority two or priority three zones. Analyzing the impact on neighborhoods closest to the border of the highest-priority attendance zone provides a better snapshot of the true effect on property values.

  • For elementary school neighborhoods: Homes sold for 9 to 13 percent more than similar homes in priority two zones.
  • For middle school neighborhoods: Homes sold for 8.5 to 10.5 percent more than similar homes in priority two zones.
  • For high school neighborhoods: Homes sold for 10 percent more than similar homes in priority two zones.

While this data points to a high demand for homes in neighborhoods with charter school enrollment priority zones, the report also helps refute notions that charter schools erode public schools. The increased home values mean increased tax revenue, which is a benefit for public school districts.

“The results suggest that homebuyers want to live in areas with access to charter schools and are willing to pay for it,” Patrick said. “It’s another way to value school choice, and it’s a win for advocates in Georgia, and across the nation.”

 

 

Reader Comments 0

39 comments
AvgGeorgian
AvgGeorgian

Read the study - seems weak, didn't see valuable data on sales timing coinciding with charter school openings or discounting other variables. "This suggests households value access to charter schools and the type of neighbors located in priority one attendance zones.". The word "suggests" in a study is most important. The "research suggests"  phrase is a well known scam on  folks deemed rubes by the speaker. Not saying the study is correct/incorrect, but rather, inconclusive. Would be interesting to know if it was funded by any particular group/entity.

Signed In
Signed In

@AvgGeorgian 

Bla-bla. You can't refute the evidence so you try and cast doubt.

If you think parents don't want school choice then what do you have to lose by standing aside and letting parents—all parents—choose the schools that best meet their children's needs?

AvgGeorgian
AvgGeorgian

@Signed In @AvgGeorgian


I "suggest" you read the research. I cast no doubt, the research does - I only report. Please turn your research skills toward the study and report back on your findings. i am always open to learning/correction.


Also, are you okay with wealthy parents using your money to fund private school for their kids? I guess it's okay because they "chose" it.


I will gladly stand aside with MY tax money in my pocket while parents meet their children's needs with THEIR money.


OriginalProf
OriginalProf

@AvgGeorgian 

Fair enough question: who or what group funded this study?  Did they have an axe to grind? The Ga. Fiscal Research Center is part of the school of Policy Studies at Georgia State University.  Its website states: "The Fiscal Research Center is a non-partisan academic think tank that leverages the Andrew Young School of Policy Studies’ public finance expertise to assist Georgia’s state and local policy-makers on questions of tax and economic policy."  In other words, they use the School faculty to conduct studies as requested by local govt. agencies. They're neutral.

Wascatlady
Wascatlady

@OriginalProf @AvgGeorgian Actually "requested by local government agencies"should be a tell for likely NOT neutral.  It matters who funds, and it matters how the questions are asked.  You can make the most devout seem to hate Jesus if you ask the questions/structure the research "correctly."


You are more likely to get unbiased research from highly respected, INDEPENDENT researchers.

AvgGeorgian
AvgGeorgian

@Sign In @Signed In @AvgGeorgian


I see you think it's too much work to read the study and report on the data. YOU probably should settle for second hand delivery of vague data. 


Thanks for counting my posts. Do you do that for your buddy astro, or did your fox friends chapter of the nonsensical blatherers club pinky swear to support fellow members in hopes of posting enough tripe that you can win the coveted ALEC decoder ring?

Astropig
Astropig

@Wascatlady @OriginalProf @AvgGeorgian



These people are independent. If anything, they would be more inclined to favor the status quo than some think tank outside academia. 


You've officially crossed over into conspiracy nonsense.

Sign In
Sign In

@Signed In @AvgGeorgian 

Georgia State University’s Fiscal Research Center has already reported their findings, which Maureen has seen fit to pass along. Too bad they don't fit AG's prejudices, eh?

But as usual that won't stop him from bloviating: eleven posts so far on this topic alone!

OriginalProf
OriginalProf

@Wascatlady @OriginalProf @AvgGeorgian 

The funding costs for the studies are usually absorbed by the School as part of their public service, since they're a school of Policy Studies, which means they're consulted by local government on policy matters.  What that means is that their faculty get released time from teaching to conduct the studies and also get assigned graduate assistants to help.

redweather
redweather

@AvgGeorgian A glance through some of the other reports coming out of GSU's Fiscal Research Center suggests that they try to be as non-controversial as possible.  

redweather
redweather

This sounds like Real Estate 101. 

Astropig
Astropig

@redweather


It's a little more comprehensive than that. Homebuyers have always shown a willingness to pay more in localities with better schools. Nothing new there. But this study shows how the somewhat unique attendance scheme in Georgia adds value to that to make it more likely that their kids can attend a charter.


The big takeaway: (The "money shot", if you will)


“The results suggest that homebuyers want to live in areas with access to charter schools and are willing to pay for it,” Patrick said. “It’s another way to value school choice, and it’s a win for advocates in Georgia, and across the nation.”

TaxiSmith
TaxiSmith

We must give parents a true choice for their children! School choice is the wave of the future unless public schools stay out of politics and  clean up their educational act. You can't just pooh-pooh it away. Parents of all economic backgrounds, of all races, and all ethnic backgrounds want good schools, good teachers, and a chance for their children to succeed. Charters and private schools offer this. It is almost impossible to fire a public school teacher. Private schools don't suffer under that nonsense.

AvgGeorgian
AvgGeorgian

@TaxiSmith


I have no kids to educate and I want the choice to not pay for other peoples choices.  I already pay extra taxes for the $58 million private school tax credit scholarships that go to mostly wealthy families. I am tired of my money being considered to be the property of only parents with school aged kids.

Astropig
Astropig

@AvgGeorgian @Astropig @TaxiSmith


No you don't. It's a tax credit. There is no specific tax taken from you or I to fund it.The state can (and does) issue credits for lots of socially desirable things.Your tax bill is not a penny higher than it would be if the credit did not exist. This has been litigated to a fare-thee-well all over the country and found to be within the prerogatives of the state. In fact, a case is pending here in Georgia over this very issue. You'll just have to write your state representative if you don't like it.

AvgGeorgian
AvgGeorgian

@Astropig @AvgGeorgian @TaxiSmith


You misunderstand the mechanics if you think diverting general tax receipts to private school scholarships for wealth families does not impact your taxes. For instance, the new transportation tax could be $58 million dollars less without the private school tax credit.


If no money is taken from you and me because of tax credits, then all Georgians should just be able to donate their  entire tax burden to the charity of their choice for a tax credit. Wouldn't affect Georgia at all, would it?

AvgGeorgian
AvgGeorgian

@Astropig @AvgGeorgian @TaxiSmith


"Whatever" - your capitulation in the face of a reasoned and logical argument. I cannot fathom your intense focus on and support of, a weak and educationally useless plan meant mostly to segregate children, and enrich the haves - especially the cronies and donors. Are you paid to be so adamantly vociferous while completely lacking in skills to convince beyond the Fox friends level? Minimum wage for supporting "the cause"? may not be worth that.

Astropig
Astropig

@AvgGeorgian @Astropig @TaxiSmith



Watching you get frustrated is kinda funny. Let's be frank- Your argument has already lost. The public is demanding choice and parental empowerment. Your side made your case for the status quo, and it has been rejected here in Georgia and just about everywhere else. All you have is divisive racial and class hatred to fall back on. I can see that-It comes out in every nonsensical rant you utter.I'm not going to waste any more time with you. See you at the polls, big guy.

AvgGeorgian
AvgGeorgian

@Astropig @AvgGeorgian @TaxiSmith


I am all for school choice- for failing students only (this is about failing schools, isn't it?), but none of you pro choice reformers want that. Why not? 


Again, your lack of logic, reading comprehension, and your unwillingness to consider any "off message" ideas stands out on this blog. Do you get paid by the post (quantity)? I hope it's not quality.

JBBrown1968
JBBrown1968

@TaxiSmith


Bullshot!!!!!!!!!!!! Private schools don't suffer the nonsence of the public either!

AvgGeorgian
AvgGeorgian

@Wascatlady @Astropig @AvgGeorgian @TaxiSmith


Cat - that is abundantly clear to anyone with even rudimentary financial skills.I suspect Astro/Taxi is/are a paid poster/s that would argue against gravity if it supported "the cause". The lexile scores of their posts don't support such a low level understanding of basic government funding realities.

dcdcdc
dcdcdc

Sad that local public schools play such a huge role in the value (or lack of) of houses in a community.  That needs to change.  Poor folks should not be consigned to awful schools, just because they can't afford to buy in communities that have better schools.  


Sickening to hear those who fight this choice - and thus consign kids who desperately desire an education, to awful educational environments, just because their parents don't make much money.

Astropig
Astropig

"These results, therefore, suggest another channel (besides competition) through which charter schools may help improve traditional public schools – increased revenue. "


I've always thought that charters in and of themselves don't really accomplish a lot. Their main value is in triggering improvements in nearby zip code schools. This finding is just another bonus for the public that comes from competition among schools for the education dollar.


Cue the haters,but fewer and fewer people are listening to them.

AvgGeorgian
AvgGeorgian

@Astropig


Your citations please.


"Their main value is in triggering improvements in nearby zip code schools. This finding is just another bonus for the public that comes from competition among schools for the education dollar"


or is the phrase attached to "I've always thought"?

AvgGeorgian
AvgGeorgian

@Astropig @AvgGeorgian


You are hilarious - in a very weak and logically ineffective way. But, I am sure the audience you write for is dazzled by your unequaled wit and your porcine support of more money for wealthy folks to choose charter schools.

JBBrown1968
JBBrown1968

@Astropig


Do you have anything new? No one is listening. The Charter movement has cycled out! Books cooked just the same. Charter, Private, Home school, or Public all the same. Some kids will pass some will fail!

JBBrown1968
JBBrown1968

@Astropig @JBBrown1968


Just like Disney's flying cars. Give me a future date for that Charter take over. No one cares about educating children. It's all about the money! The kids are just collateral! Ten years from now, most kids will learn on line. No reasonable person will want the damn job. The future is a teacher shortage.


Starik
Starik

People pay more for good schools. No brainer. Charter schools may or may not be good schools. Charter status may be important in districts that have difficulties with kids from other neighborhoods filling up their "neighborhood" school.

JeffreyEav
JeffreyEav

That sounds right but Mary Lin is not a charter (just a good school) and the property values over there are through the roof.