Residents of Montgomery County reap the benefits of excellent public schools. It is the wealthiest county in Pennsylvania with the neighboring counties of Bucks, Chester, and Delaware not far behind.
As everyone knows, the school district is of paramount importance for many (if not most) homebuyers. For some, it is the primary criteria they use to search for a home.
When buyers are relocating to this area from across the country, they seem to already know of districts like Council Rock, Lower Merion, and Tredyffrin/Easttown – all good things they have heard.
Who is to say which school district is the best or the worst?
Looking at sales of $400K homes ($390K - $410K) in the last three months (the busy season for real estate as families want to move after the school year ends and before the new year starts), it is interesting to look at the number of sales in several school districts as well as the average school taxes for those sales:
School District # of Sales Avg Taxes
Wissahickon 5 $3,926
Tredyffrin/Easttown 10 $4,057
North Penn 9 $4,322
Council Rock 12 $4,329
Lower Merion 6 $4,393
Hatboro-Horsham 2 $5,138
Central Bucks 16 $5,212
Methacton 1 $5,225
Perkiomen Valley 3 $5,227
Pennridge 4 $5,544
Upper Dublin 7 $5,860
Souderton 3 $5,933
Norristown 0 $6,280*
*There were no sales in the last 3 months. This is the average school taxes going back to sales 3-6 months ago.
As school districts face tightening budgets, it sounds easy to look to the taxpayer to pay for any budget shortfalls.
This is a tough one. Realtors see a lot of hardship out there, people who have lost their jobs, worried about losing their jobs, struggling with their mortgages, facing foreclosure in a real estate market that no one would characterize as robust. Higher end homes with high enough property taxes are already in quicksand.
But, compensation is what attracts and keeps great teachers, and great teachers and state of the art facilities make great schools. And great schools attract professional working families. That keeps the property values high. Right? But someone has to pay for all this greatness.
Some districts have a “reputation” for excellence; others have a “reputation” for having high property taxes. Before any district considers a substantial rise in school taxes, they should consider if the rise in taxes will be matched by an equal rise in reputation.
We see buyers steering away from some school districts because of high property taxes, especially when those districts are not considered "better" than the other neighboring districts with lower property taxes.
There are so many top notch school districts in the Philadelphia suburbs, why would a buyer pick one whose reputation does not match the taxes? There has to be a balance.
Every Wednesday at noon, the Scott Loper Team of Re/Max Realty Group in Harleysville offers some sage advice to potential and current homeowners in our area. The Scott Loper Team includes Scott Loper, Lisa Loper and Gina Wherry, Re/Max Realty Group, 439 Main Street, Harleysville, PA 19438, 215-256-1200.