Is school proximity a driver of home price growth?

Tengah may show how school proximity affects long-term property values, says DBS.

With some homes within one to two kilometers of popular primary schools posting stronger price appreciation than their district averages, could proximity to schools be a real driver of long-term property value? Experts say not always.

“Property price appreciation still depends on other factors apart from primary schools,” said DBS experts in a report.

“It is also important to consider other factors such as entry timing/price, proximity to MRT stations, lease tenure, project age, proximity to multiple primary schools, and other development attributes,” the experts added.

Balloting is conducted for oversubscribed primary schools during the Primary One registration, with priority given based on the child’s citizenship and proximity to the school, according to DBS.

Based on its analysis of primary schools, DBS found that despite being near a popular school, homes within 1 to 2 kilometers of Nan Hua Primary underperformed District 5’s average price growth—suggesting a weak link between school proximity and property value.

Similarly, homes within 1 to 2 kilometers of St. Hilda’s Primary saw annual price gains ranging from 2.5% to 5.4%, falling short of District 18’s 9.2% average, reinforcing that school proximity does not always translate to stronger property appreciation.

Schools that showed a clear link between proximity and property value include Nanyang Primary School in District 10 and Singapore Chinese Girls’ School in District 9.

DBS said the planned relocation of Anglo-Chinese School (Primary) to Tengah by 2030 may offer insights into “how proximity to a primary school may influence future price trends in Tengah.”