Google Fiber, the super-fast Internet and television connection, will drastically increase your local property values. This was the promise shared by Google as it unveiled its brand-new service in Austin, Texas, aimed at revolutionizing the way we all watch television and surf the web in our own homes.
According to the Kansas City-based media outlet KSHB, where Fiber was previously introduced, Google believes that Fiber could increase your property value by as much as $2,000 to $5,000. The question now becomes: Is this promise real, and if so, what could the effects be on the real estate market?
Fiber has real estate potential
There is no denying the possibilities for Austin brought along with Google Fiber. The service would provide drastically faster Internet and television connections, which would allow users to stream movies, browse channels and perform a wider range of other tasks more easily than ever before.
At the moment, Fiber is unlike other Internet and cable services. It is only available in a few cities — with Austin one of the recent additions. Due to its restricted nature, the demand is exceeding the supply. This is why it could be a boost to property values: homeowners with the service have a unique feature to advertise as they list their homes.
According to Forbes, Fiber service could even help the local economies where it is available. Like Silicon Valley in California, Fiber has the potential to turn its cities into tech hotspots. In the future, Austin could be a highly desirable location for startups, entrepreneurs and budding businesses. If this comes to pass, it would also benefit the local housing market.
Fiber's benefits are still in question
While the potential is there, the true benefits of Google Fiber are still being debated. "As much as I would love to say that we're going to see prices skyrocket because Google Fiber is coming to these communities, I don't really see it being a factor that's going to make somebody come to this community," Katie Yeager, CEO of Your Future Address, told KSHB.
One homeowner in Kansas City who is Fiber-capable points to supply and demand as a key reason for the property value surge. Dena Begeman told the news source that she thinks Fiber will be a selling point now that it is rare, but as more people join in, the impact could be diminished.
Be cautious of its ability
Fiber offers a lot for homeowners, but it is still just an Internet and cable service — not one of the leading property-value boosters of a home. So we say invest with caution.
In Austin, only time will tell if a Fiber-capable home will truly improve local property values and real estate sales. "People will love that, but at the end of the day, we don't see that being a decision factor," Yeager told KSHB.