LETTING & ESTATE AGENT

Importance of Good Broadband Speeds

Importance of Good Broadband Speeds

Home-movers in London would pay up to 8% above the market value for a house with fast broadband, new research claims.

Broadband speeds can have a significant impact on property value, according to a new study from Imperial College Business School and the London School of Economics and Political Science.

The research discovered that house hunters in the capital would potentially pay as much as 8% above the market price for a home located in an area with very fast internet connectivity.

Compiled over the 14 years to 2010, the figures indicate that for the UK as a whole, house prices rise by an average of around three per cent when internet speeds double.

A greater increase was noted when starting from a slow connection, while a rise from 8Mbps to 24Mbps was associated with an upturn in value of up to one per cent.

The researchers claimed Londoners are most likely to pay a premium for fast broadband because they tend to rely heavily on the internet, for both work and personal use.

Imperial College Business School's Professor Tommaso Valletti, co-author of the report, said: "In this digital age a fast, reliable broadband connection is important; more of us are working from home and using an internet connection to stream TV programmes, make video calls and to browse the web."