It’s not surprising that you can now add internet access to the list of things that affect house prices.
Just like access to good transport, schools or a great aspect, buyers and renters see fast, reliable and affordable internet as one of life’s essential pieces of infrastructure.
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by Jessica Sier
The demise of Labor’s fibre-to-the-home (FTTH) broadband policy won’t see the immediate emergence of an Australian house price digital divide, but real estate agents in the half-completed Sydney suburb of Blacktown warned it could emerge as an important sleeper issue for home owners.

Before Saturday’s federal election, former communications minister Anthony Albanese had claimed it was common sense to assume people would pay more for properties directly connected to fibre, rather than those left reliant on fibre-to-the-node connections under the Coalition plan. However Blacktown residents, who will now live in an area with half the homes ­connected to Labor’s NBN, remain largely oblivious to the change.

Director at real estate firm Harcourt’s, Andrew Chrysanthou, said he hadn’t had a single buyer ask which broadband connection they would have.

“It hasn’t made any extra sales . . . It’s definitely not the talk of the town from people looking to buy or rent around here," he said.

“There may be a bit of an impact in the future as it becomes a more widely used service, but even then I don’t think it will be a major selling point."

Sky Property’s Riza Kamerakkas meanwhile said home buyers were looking at other property features and potential rental returns, ahead of worrying about the internet connection.

VALUE NOT APPRECIATED
“It’s not something unique, it’s not something you’re going to have and your neighbour’s not going to have," he said. “Blacktown is an investor ­market, people are coming and thinking about rental returns, not the NBN."

According to data from Australian Property Monitors, the median house price in the Blacktown area is $420,000 and the median unit price is $306,000.

Therefore the cost of $5000 cited by Mr Albanese for residents wishing to extend their fibre connection from the node to their properties remains at the margins of consideration.

“$5000 might make a difference in a few years, but it doesn’t now," Mr Chrysanthou said.

“Even then I don’t think it will impact the property market ­significantly.

“I don’t think people would actually pay the difference, to be honest."

Despite being an advocate for the FTTH policy, New South Wales Labor leader and member for Blacktown John Robertson agreed that home buyers did not yet fully appreciate the value of broadband connections.

“Sadly people will make do with the second-rate option," he said. “I don’t think they will pay extra."

However Mr Robertson said demographic changes in the area meant the value of internet infrastructure would be recognised more readily in the future. “More professional people are choosing to live here and they will want faster downloads," he said.

“Over time I think there will be an impact on the market. House prices will reflect whether or not the property has this added feature."

OTHER PRIORITIES
Local resident Hendrik Richert recently bought a unit in the area and said high-speed internet connectivity had not factored into his decision ­making.

“I was flat-out figuring out how the first home owner’s grant worked," he said. “The NBN didn’t cross my mind."

“I don’t know if I’m hooked up. I assume so, my building is new."

Most residents in Blacktown spoken to by The Australian Financial Review weren’t sure whether or not their ­properties were connected to the NBN, although many thought it might increase the value of their properties in the future if they had the fibre-to-the-home connection.When asked if they would pay the difference to have the fibre to ­the premise connection, however, the response was overwhelmingly negative.Suburbs such as Blacktown, which have some streets connected and some awaiting contracts, may experience disjointed construction work as the new rollout plan is established.

There have been calls on the new government to “quickly" renegotiate the contracts of its alternative national broadband network so the rollout can continue without great interruptions.

The Australian Financial Review

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It wasn't that long ago when broadband Internet service was an extravagance.
If you lived in a rural area, you accepted the extra time it took to check your email, download a song or stream a movie. This inconvenience was part of the price paid by those who chose to live off the beaten path.
Not anymore. In today's world, broadband Internet service is part of our area's infrastructure, as vital as roads, bridges, electricity and telephone service.
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Communities throughout the country have been experiencing the benefits of having high-capacity fiber optic broadband networks extended to their homes and businesses. Recent studies conducted by the Fiber To The Home (FTTH) Council have found that students with broadband at home have a 7 percent higher graduation rate, FTTH increases home values 3 percent, and communities with access to gigabit broadband have had higher economic growth, as measured by GDP, over similar communities without.
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