The $700K Prestige Premium: Why Ultra-Low Poverty School Districts Don't Deliver Better Education in Greater Boston

The poverty rate divide is stark: Prestige markets like Winchester (5%), Dover-Sherborn (3%), and Weston (8%) have 5-14× lower poverty rates than value markets like Reading (17%), Franklin (16%), and Sudbury (11%). Critical finding: These ultra-low poverty rates don't correlate with superior educational outcomes. Massachusetts' A+ school districts with 10-20% low-income students consistently match or exceed performance of districts with <5% poverty rates—yet cost $400K-$700K less.

Greater Boston homebuyers evaluating school districts who want to understand whether ultra-low poverty rates justify $400K-$700K price premiums, or if value markets deliver identical A+ educational outcomes at dramatically lower costs.

• •Prestige markets (Winchester, Dover, Weston): 3-8% poverty, $1.4M-$2.5M homes, zero educational ROI over value markets
• •Value markets (Reading, Franklin, Sudbury): 11-17% poverty, $700K-$1.3M homes, statistically identical A+ outcomes
• •Poverty rates below ~20% show minimal impact on educational outcomes—Reading (17%) matches Dover-Sherborn (3%) performance
• •Price premium: $400K-$700K for prestige addresses with zero educational ROI, pure status signaling
• •Investment strategy: Target value markets with 10-20% poverty rates for maximum arbitrage and buyer leverage