This post is prompted by a heated discussion that occured on Singing Pig recently. Rich Greenland posed the question "Where are all the good deal sourcers?" and it generated a very healthy discussion which threw up this comment:

"The biggest problem with the property market, and why it is so attractive to people, is the barriers to entry are relatively small. i.e. with a small amount of start up capital you can begin finding properties, then sourcing, selling etc. This has resulted in a whole host of people being involved in the property market, some of which are ethical and responsible, some of which see it as the quickest way of getting rich in anyway possible".

Read More...

For a while now, Nick and I have been talking about how the business world is changing at the fastest pace in history, and a by-product of this is a growing trend that will see more and more people working from home.

Large companies will re-structure with fewer employees and more contract workers and freelancers, who are brought in on a project-by-project basis. The recession is also creating unemployment, and we will see the launch of many new home-based businesses over the next few years as a result of that.

Speaking as home workers ourselves, we conduct and manage virtually all our business via the web, and we are totally hamstrung without it! I have mentioned at many of my speaking engagements over the last twelve months, how important broadband speed is going to be, and how property investors/Landlords need to understand this and ensure that any property they buy has good broadband connectivity. This will be an increasingly important facility for tenants, and will contribute towards future-proofing the property in terms of desirability.



The impact that the web is having on society and humanity in general is touching every aspect of our lives, including property investment, and in many different ways and at many different levels.

I was therefore interested to see this article from ISP Review:

Slower Broadband Speeds could hinder U.K. house sales

The results from 721 respondents to our latest monthly survey reveal that 75% of readers would not buy a house, even a lovely one, if the best broadband ISP speed it could achieve was just 1Mbps. In addition, 51% would be willing to pay more for a house with "faster" broadband.

Some 61.7% of those surveyed said that the minimum broadband speed they require would be "More than 4Mbps", with just 20.8% voting for 4Mbps itself, 10.8% voting for 2Mbps and a measly 6.6% saying they'd settle for 1Mbps. Failing that, the most attractive alternative method to a fixed land-line broadband connection was found to be a Fixed Wireless ( Wi-Fi ) service (52.5%).

Would you buy a lovely house if it could only have up to 1Mbps broadband?

No - 75.1%
Yes - 24.8%

What is the minimum broadband speed you require (pick closest)?

More than 4Mbps - 61.7%
4Mbps - 20.8%
2Mbps - 10.8%
1Mbps - 6.6%

Which alternative method to land-line broadband would you consider first?

Fixed Wireless (Wi-Fi) - 52.5%
Mobile Broadband (3G) - 28.4%
Satellite - 19%

Would you pay more for a house with faster broadband?

Yes - 51.3%
No - 48.6%

People clearly place a significant emphasis on broadband performance, so much so that an overwhelming majority would even be willing to give up on an almost perfect dream home in favour of a cosmetically less attractive one that received faster speeds.

Estate agents have long voiced the importance of broadband equipped homes, though few may have recognised that modern demand also requires the service to be fast, affordable and flexible. This highlights the importance of being able to deliver speeds of more than double the current government target, which is committed to delivering a minimum 2Mbps broadband speed to everybody by 2012.

This may now simply end up being too little, too late.

Article ends.

The bigger picture to all of this is how broadband connectivity will be a key influencer in helping this country come out of recession. As Ollie Cornes wrote on our Property Tribes forum:

"Landlords will have more technology to support their businesses - easier remote access to suppliers, staff, tenants, information, research, performance. Tenants will have better access to technology as well, in terms of choosing suitable accommodation (Zoopla is now starting to challenge Rightmove, finally), but also will DEMAND better technology. Too many organisations in the UK have said "but why would anyone want 100Mbps broadband?", but you only need to go to South Korea or mainland Europe to see just how important it is to have a good connection to the net. Properties that are in the slow-lanes of the grid make it harder for the occupants to home-work, and improve their quality of life through the sensible use of technology. A big fat broadband pipe means multiple family member streaming video at the same time, it means video-conferencing can go 3D and be immersive, it means we can have a phone at home with as many features as a business phone, it means we can have more devices in the home connected, access all music ever recorded, all TV ever made, all films ever made.

Re Vanessa's post the other day about broadband affecting property values, I'm sure this is the case, and will only increase. The Government's target of 2Mbps minimum per property by 2012 is so lacking in ambition it's comatose - so those properties that have the ability to get fast broadband will certainly be easier to sell and rent. Sadly there's little we as landlords can do to edge this along, except perhaps to actively promote good connectivity where it is available".

If you would like to see other property investors views on this subject, please join our Property Tribes forum >>>>here.

If you would like to see what other long term trends we are predicting in property, please click >>>> here.

Our next property/social media networking event in association with Guildford/Weybridge ecademies is on Monday 30th November at the Ship Hotel in Weybridge. Full details and to register click >>>> here.

BREAKING PROPERTY NEWS: Passive Investments: Andy Shaw and Greg Ballard head to the bankruptcy courts having lost £thousands for investors who invested in their "Armchair Investor" scheme. You can read the full story >>>> here.