Using the Fremont Unified School District in Fremont, California, as the study area, this study estimates the impact of school quality on house prices and finds that a one-standard-deviation increase in the quality of elementary, middle, and high schools significantly increases house prices—by 20 percent for an average-priced house. I urge urban planners and policy makers to explicitly recognize the impact of schools on residential segregation, to consider access to high-quality K–12 education when developing plans and policies, to collaborate with school districts to improve educational quality, and to provide incentives for the construction of affordable housing in neighborhoods with high-quality schools.