Broadband speeds are still woefully low in many areas of the UK. People in rural areas are still struggling to get speeds that can handle streaming the likes of Netflix and Amazon Prime. And if you’re a homeowner affected by this issue, it might be doing damage to your property’s market value.
A 21st-century problem for homeowners
The traditional factors that affect house prices still apply today. Whether you have a large garden, the proximity of transport links and the performance of schools in the area all play a part in setting house prices.
But a relatively new factor at play is the average broadband speed in the neighbourhood. More and more of what we do requires a speedy connection to the Internet. If an area simply doesn’t have the infrastructure to support the necessary speeds, interest in homes there suffers. Put simply, fast broadband is non-negotiable for more and more house buyers.
According to Hyperoptic, the demand for superfast broadband continues to grow. A recent survey revealed that 60 per cent of the 3000 people questioned said that speedy Internet access was more important than having an extra bedroom.
Explore all the possibilities in your area
If you’re in the process of selling your home, do everything you can to find a fast broadband service. While you might have to pay a little more than you’d like, the outlay could add thousands to the value of your home.
The Hyperoptic poll revealed that the respondents who prioritized fast broadband in potential homes were very likely to disregard a property that offers less than 9mbps. If your current broadband provider provides less than this, you stand to lose a lot of value in the open market.
But there’s good news — if you can find superfast broadband, that is. According to Hyperoptic, having a broadband speed over 100mbps could add up to £23,000 to the value of your home.
What’s the minimum broadband speed I need?
If you want to secure the average house price for your area, you’ll probably need to offer a minimum speed of 18mbps. If you live in a large town or a city, this shouldn’t be an issue. However, you might find that only one or two providers can deliver what you need — curtailing your options significantly.
But if you live in the country, there’s a good chance you’re still connected to the Internet via old copper lines and antiquated telephone exchanges. If that’s the case, you’ll be lucky to find broadband speeds of 5mbps.
What can I do if there are no options?
Unfortunately, there’s not very much you can do if there isn’t any fast broadband infrastructure in your area. Reach out to all the major providers, and ask when (or if) they plan to increase speeds in the near future. Get your neighbours to do the same. If there’s a demand, a company will agree to install fibre-optic broadband in the area eventually.
Until then, you might have to settle for a slightly lower-than-average sale price.