How to Properly Evaluate School Ratings in Denver Real Estate - Denver - 1

One client searching for properties in Denver saw the number 9 next to the assigned school and thought it was a test score. In fact, that number is not just a test score but a value created by mixing several indicators.

The GreatSchools rating is calculated based on high school student achievement, academic growth, and college readiness, each contributing 33% to a score between 1 and 10. College readiness considers SAT and ACT results, four-year graduation rates, and participation rates in AP, IB, or dual enrollment programs. This means that even if test scores are high, if graduation rates or participation in college preparatory programs are low, the overall rating may not be as high as expected. Recently, the weight of equity indicators, which assess how evenly disadvantaged student groups perform, has also increased.

Looking at the actual ratings in the Cherry Creek area gives a sense of how these numbers vary. Cherry Creek High School received a score of 9 with an attendance rate of 82%, which is higher than the Colorado state average of 72%. Within the same school district, Cherry Creek Elevation scored 8 with an attendance rate of 84%. While a one-point difference may not seem significant, a closer look at the details often reveals differences in growth and college readiness.

What this number signifies is that it reflects both past and present performance. A school with high test scores but low growth may only be gathering students who were already performing well, making it difficult to assess the educational effectiveness of the school. Conversely, a school with average scores but high growth indicates that it is effectively helping students improve. Both indicators need to be considered to determine the actual strengths of a school.

Breaking down the college readiness component further, it includes not only SAT and ACT participation rates but also the percentage of students participating in AP, IB, or dual enrollment programs. Dual enrollment allows high school students to earn credits at local community colleges simultaneously. The higher this percentage, the higher the college readiness score.

The equity indicator measures the performance gap between disadvantaged student groups and their peers. Even if average scores appear the same, a large gap can lead to an overall rating that is lower than expected. With recent revisions, the weight of this indicator has increased, so if a school's rating has dropped compared to previous years, it's advisable to check this item first.

There are also aspects that are difficult to judge solely based on ratings. The student-to-teacher ratio is not directly reflected in the rating but is an important number for gauging the actual classroom environment. Parent reviews are similar. If a school has high scores but there are repeated complaints about specific programs in reviews, that is worth considering. Additional indicators displayed alongside the rating, like attendance rates, are also worth noting.

The most easily overlooked aspect is school district boundaries. The school name displayed on the property page may differ from the actual assigned school, so it's safer to verify the assigned school based on the exact address through the Denver County School District or school district websites. While this is advantageous, skipping the verification process can lead to being assigned to a different school than expected after the contract.

To check the assigned school based on an address, you can enter the exact street address into the school search tool on each school district's website. The school information displayed on real estate sites is for reference, and it's always safest to rely on school district data for final confirmation. Especially for newly built developments, they may be subject to school district reassignments, so it's important to be thorough.

For families coming from out of state, it's also good to consider that property tax or school tax assessment methods may differ from those in their previous state of residence. From an investor's perspective, areas with high school ratings are known to have lower vacancy risks, but it cannot be assumed that this trend will continue in the future. This article is not investment or legal advice, and it is recommended to consult with a professional before finalizing any contracts.