Survey: Slow Broadband Can Knock 20% Off Home Value
Most of you are smart enough to check out your potential new home's broadband options before moving. As such it's not too surprising to see UK Property search website Rightmove claim that data they've collected indicates that slow or nonexistent broadband options can obviously kill a sale, but slow broadband can erode the value of a home by as much as 20%
. The website, which has started including broadband speed trackers next to home listings, note that a survey of 3,000 people found the majority of them were more interested in fast broadband than they were local school and transportation options.
No survey: How many would pay 10% more? on a $400k home how many would pay $40k (plus debt service) over a 40 year mortgage to ADD fiber service?
how many would pay 20% ($80k)? for what will be 30Meg FTTC/advanced DSL service that britian now says will reach 95% by 2017 (unless they delay it again) ? plus the cost of actual service.
Makes $600 a year for 25/5 cable delivered, maintained and financed privately without obligation, to your door INCLUDING the first 300GB per month seem pretty cheap.
| |morboComplete Your TransactionReviews:
Re: No survey: How many would pay 10% more? Your comment is misleading in a few ways. The most important is that broadband availability is gaining in importantance. Like parents wth children look for quality school districts, the younger generation values fast and reliable internet.
Google Fiber is the case study that shows it doesn't take $40k-80k to add fiber. Even other options like muni fiber provide value to the community and save customers money over the Comcast equivalent.
People are done waiting for slow, overpriced internet.
Re: No survey: How many would pay 10% more? I agree it adds value, it's the 20% I question.
If it adds 10% then it MUST be worth some additional payment, something that people here don't seem to believe in.
And we know nothing about google fibers cost, but so few muni's have ever reached breakeven, it's impossible to say they have saved anybody (yes service may have had lower monthly fees, because of the funding /risk taken directly by homeowners/taxpayers...still a cost even if not paid monthly on the broadband bill.)
| Again you mislead, as that is what you do best.|
First off, you have no idea how many successful muni's there are compared to failed. From what I read, there are far more success stories than failures.
Second, you have no idea how many of the muni's were done completely without putting taxpayers at risk as they could have very well be bonded without government gaurantee. Which, to the best of my knowledge, is the most common bond sold in the US.
Third, you have no idea how much more someone is willing to pay for a home that already has FTTH or is being built and they have the option of choosing this.
Lastly, when I move I will not buy a home that does not have at least 500mpbs service. Therefore, any home that does not have that is worth $0 to me thus broadband adds 100% value to the home.
FIOS was a requirement for me.... When we were shopping for a new house last year, I knew that FIOS served the area where we were looking. We had it at our previous house, and I didn't want to give it up.
We found a house that was exactly what we wanted, and we were discussing the offer. But something was nagging me: I had met the previous owner, and he told me he had TW cable, and FIOS had never been installed.
So, I went to Verizon's website and put in the address. It came up: "Sorry, FIOS is not available at your location". I said to my wife -- sorry, we can't buy this house. The look she gave me could have set ice on fire.
I thought: "something must be wrong. Look again." I had mistyped the address: 103 instead of 105. Once I corrected it, FIOS was available.
We bought the house. The fiber was run from the street to our garage before we even took possession, and the install was complete before we moved in. It was a good thing, as we had a horrific ice storm the next day and were house-bound for 3 days.
| |IowaCowboyIowa nativePremiumReviews:
Same for renters If I had to move, I would say the deal is off if the facility had an exclusivity agreement with a certain provider. I would also want my own cable modem connection instead of using a shared Wi-Fi connection provided by the facility. I trust shared Wi-Fi as much as I trust the NSA (even though they are snooping on us anyways). I would also want a facility that allows the same choice of services that a single family house has (CDV, HSI, and cable) instead of bulk purchasing agreements that limit the options.
Of course finding a place that would take an 80 lb Alaskan Malamute and a cat would be hard.
I could of course just use a Verizon Wireless LTE home router.
I've experienced ImOn (when they were McLeod USA), Mediacom, Comcast, and Time Warner and I currently have DirecTV. They are much better than broadcast TV.
I have not and will not cut the cord.
Re: Same for renters My mother in law moved to an apartment that had an exclusive deal with mediacom. You had to pay mediacom no matter what, and most of the residents there went with Dish or DirecTV, seriously, and the internet was spotty as shit, not working half the time, and mediacom could care less to send anyone out, since their "base price" was worked into your rent. These kinds of exclusive things are now illegal in most states, but that does not stop a monopoly
Santa Monica, CA
·Time Warner Cable
Utter nonsense! Please, someone, anyone, show me comparable homes in comparable neighborhoods, where the sole distinction is poor broadband, such that I can buy them for 20% less.
Even at the very low US median of $188K, that's over $35K in savings.
The website's sampling methodology is complete garbage - it is counting browser search selections, not correlating closed sales prices to actual broadband speeds.
Few on this forum are willing to shell out even $5K to get wired with broadband. And yet, they're willing to finance an extra $35K+ for a house that has such access, while overlooking schools and transportation?
If you believe that, I have a bridge in Arizona you might be interested in...
Santa Monica, CA
·Time Warner Cable
Re: watch closely...
said by tmc8080:Not to worry, KC, KC, and Austin housing markets aren't going to see a fiber bump.
while I'm not going to say that Kansas City Ks & Mo are going to go up in value just because google fiber landed... but it's quite possible a city like Austin TX could end up with real estate values similar to that of California.
People price homes based on employment and schools, not broadband, and in terms of broadband, they don't want to pay $70/month, and they aren't seeking gigabit or 100M service.