Tempering the frenzy of staying close to a popular primary school

Feb 17, 2023

LOCATION matters. Homes in prime districts cost more than those in non-prime districts. Many home buyers here value proximity to an MRT station. Homes that are near MRT stations fetch higher prices. And homes that are linked to a station, such that one can walk easily to the station and not get wet when it rains, draw a higher premium.

Despite Singapore’s low birth rate, a locational attribute that is crucial – even a dealbreaker – for some home buyers is proximity to a sought-after local primary school. A study done several years ago involving researchers from the National University of Singapore found that the loss of a top 50 ranked school led to a fall in prices of about 8.5 per cent for private homes and an estimated 5.1 per cent for Housing and Development Board (HDB) flats within 1 km of the school.

Christine Sun, senior vice-president of research and analytics at OrangeTee & Tie, noted that homes near “top schools” can draw a price premium of up to 15 per cent.

The move of sought-after Anglo-Chinese School (Primary) from its current Barker Road campus in Newton to Tengah in the west come 2030 is seen to give a fillip to prices and rentals of homes in Tengah. The new ACSP will accept boys and girls.

Consultancy Huttons Asia expects ACSP’s move to boost the new town’s attractiveness and draw younger families. Huttons is also anticipating that rents of homes within 1 km of the new ACSP could be up to 10 per cent more than those outside the radius.

The Primary 1 registration process here emphasises proximity to schools in allocating places. Possibly, the pricing premium for homes near popular primary schools will persist or even rise, as more parents compete for places in such schools by buying or renting homes nearby.

Primary 1 registration

Admission to Primary 1 is conducted in phases. Phase 1 is for a child who has a sibling studying in the school. Phase 2A is for a child with links to the primary school, such as a child whose parent is a former student of the school.

Phase 2B is for a child whose parent is a parent volunteer, a member endorsed by the church or clan directly connected with the school, or an active community leader. Phase 2C is open to all children.

Balloting is conducted when the number of registrants exceeds the school vacancies. Priority admission is given to Singapore citizens. In some schools, balloting is common in Phases 2B and 2C, where there will be at least 20 places and 40 places respectively.

The order of priority is citizens living within 1 km of the school, followed by those living between 1 km and 2 km of the school, and then those living outside 2 km of the school. A citizen needs to live within 1 km to have any chance of securing a place in some schools.

Good schools in heartlands

Moving popular primary schools from Newton and Bukit Timah, where there are many private homes nearby, to HDB heartlands helps give HDB dwellers a better chance at getting places in such schools. Perhaps more sought-after local primary schools as well as other reputable local educational institutions could shift from prime districts to heartland locations over time.

Locating more sought-after schools in HDB heartlands can help boost socio-economic integration. Also, prime land vacated by schools can potentially be sold for princely sums as private housing development sites or used to build hotels or commercial buildings.

Siting sought-after schools in non-mature HDB estates may help sway more people to apply for HDB Build-To-Order (BTO) homes in such estates. A young family can benefit from buying a BTO flat in a non-mature estate at a cheaper price than in a mature estate, while enjoying being close to a sought-after primary school.

Of course, not everyone wants to live near a popular school. Singles and couples without children could be happy to avoid the traffic congestion around a school during the start and end of the school day.

Wider proximity radius

Allocating places in sought-after primary schools based on proximity to the said schools seems fair, especially if such schools are spread across different locations islandwide. Children who live near a school save time travelling to and from school, and the environment gains from fewer cars making long-distance commutes.

Maybe, the process for primary one registration can be tweaked such that the real estate advantage in securing places is more widely shared and not confined largely to those living in homes within 1 km. Consider giving priority to all citizens living within say 4 km – that is, whether a child lives right next to a school or further out, but within 4 km, the chance of snaring a place via balloting is the same.

Take Methodist Girls’ School (Primary). With a wider proximity radius, children living in some HDB flats in Clementi and Bukit Batok for example can have an equal chance in securing a place as those living in the private homes nearby.

Widening the proximity radius can be done together with moving more places from Phase 2A to Phase 2C to give children of parents with no links to a particular school a better chance of getting a place for their child in the said school.

In the process, hopefully the frenzy from parents to pay more to buy or rent a home within 1 km of a popular primary school can be tempered. Maybe the parenting journey becomes a little less stressful.

For property investors, ACSP’s relocation is a reminder to be careful when paying a premium for proximity to a particular school or healthcare facility or corporate headquarters. The said school, healthcare facility or corporate could relocate at some point. Condominiums near the current ACSP may see rental demand slow when the school vacates its premises.

Perhaps it is safer to pay a premium to be near amenities that are immovable, such as the Singapore Botanic Gardens, East Coast Park or MacRitchie Reservoir.

https://www.businesstimes.com.sg/opi...primary-school