How School District Demand Drives Home Sales in Jericho, New York

Written by:

Rudi Davis

Date:

18 Mar 2026

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Strong school districts continue to drive buyer demand in certain Long Island suburbs, insulating these markets from broader economic volatility. While much of the residential real estate market is contending with high interest rates and tight inventory, some areas remain active as families prioritize access to education over financial returns.

Michelle Zhao, broker at ZI Realty LLC, holds a 10% market share as a solo agent in Jericho, N.Y., a suburb where nearly one in ten home sales involves her brokerage. Zhao attributes her market share to buyers’ motivations in school district-focused markets. These buyers are less influenced by investment returns or price fluctuations and more driven by the need for quality public education.

“People need a good school district. People need a good education,” Zhao says. She reports that demand in Jericho has remained strong over the past six months, with little sign of slowdown despite broader market concerns.

School Reputation Stabilizes Home Prices

Zhao’s experience in Nassau County highlights how a school district’s reputation acts as a stabilizing force in the local housing market. Unlike other segments that respond to interest rate changes or economic uncertainty, these neighborhoods see steady demand from families seeking access to highly rated schools.

Most of Zhao’s buyers are families with school-age children relocating from urban areas or moving up from lower-rated districts. For these buyers, proximity to schools often outweighs other concerns, including higher property taxes and purchase prices. Zhao notes that her clients are rarely focused on investment metrics. Instead, they are willing to pay a premium for access to education.

“For those people, they are looking for a school district,” Zhao explains. She points out that many of her clients are moving from New York City or other areas where public schools are perceived as inadequate. This steady influx of families has kept transaction volume high in Jericho, even as other markets have slowed.

As a result, traditional market indicators like mortgage rates or inventory ratios may not accurately reflect activity in these areas. Zhao reports that sales have remained brisk in Jericho over the past six months, defying national trends of slowing sales and affordability challenges.

Education Over Investment Returns

Zhao draws a clear distinction between investment buyers and those purchasing primary residences for access to schools. Investment buyers are focused on maximizing returns and often avoid areas with high property taxes, which can erode profitability. In contrast, buyers targeting top school districts treat taxes as a secondary concern, prioritizing home layout and location within district boundaries.

“If you are looking for investment, you want the highest return, so you avoid high-tax properties,” Zhao says. “If you are looking for a primary residence, especially for the school district, you want a house that meets your family’s needs.”

This segmentation has practical implications for agents and investors. Zhao argues that treating all residential buyers as if they share the same priorities leads to missed opportunities and misread market signals. School district buyers are often willing to stretch their budgets or compromise on features to secure a home in their desired district, Zhao observes.

“There’s no formula for them. Everyone has different requirements,” Zhao notes.

Buyers Accept Elevated Interest Rates

Another trend Zhao has observed is a shift in how buyers view interest rates. Many buyers who postponed purchases in 2022 and 2023, hoping for a return to historically low rates, have now accepted that those conditions are unlikely to return.

“Buyers realized that interest rates would not happen again, so they are ready to move forward once they find the right home,” Zhao says.

This adjustment in expectations is especially pronounced among families facing deadlines for school enrollment or other time-sensitive needs. As a result, transaction activity in school district-driven markets remains steady, even as higher rates have cooled demand elsewhere.

Specialization Builds Jericho Market Share

Zhao’s success in Jericho is built on deep specialization. Rather than spreading her efforts across multiple towns, she has focused on a small group of neighborhoods defined by top school districts. This approach has enabled her to build strong referral networks and maintain repeat business with buyers and sellers who share similar priorities.

Her strategy has led to top-300 rankings among New York State realtors and several record-breaking sales in her core area. Zhao attributes her business growth primarily to referrals from past clients and community members, rather than broad marketing campaigns.

Expanding on this model, Zhao co-founded ZI Realty LLC with a partner to train other agents on serving school district-focused buyers. She believes that understanding the unique motivations of these clients is essential for building a sustainable practice in suburban real estate.

School Demand Shapes Nassau County

As school district-driven demand continues to shape Nassau County and similar suburbs, Zhao’s experience underscores the importance of understanding buyer motivation. Agents and investors who recognize the distinct priorities of education-focused families may find opportunities that broader market data overlooks.

Whether this approach can be scaled beyond individual agents to influence larger investment strategies remains uncertain. However, the consistent demand in these markets suggests that school quality will remain a key driver of suburban real estate performance, even as broader economic conditions fluctuate. Agents like Zhao demonstrate that local knowledge and targeted expertise can yield significant market share in markets where educational priorities remain non-negotiable.