4 ms·
Price of new houses just went up
by amalgamated_inc 4y ago
Price of new houses just went up
- IanCal 4y agoNot particularly, there's very little justification for running copper to new houses given we're in a nationwide rollout of fibre and there's a big cost saving to moving entirely to fibre.
- mhb 4y agoSo no need for a law then...
- izzydata 4y agoTo me it seems like a way to really consider internet to be a public utility such as water and electricity. I'm sure there is a law that says any new construction requires it to be connected to the electricity grid, even though it would be pretty unreasonable to not connect it to the grid. Does that mean there is no need for it to be a law? At least this way you can have a good expectation of a new buildings utilities.
- mhb 4y agoWhen you set a minimum standard, something that could have been bought for less that didn't meet that standard will no longer be an alternative. So some people will have something better and others will not have an option that they once did.
- IanCal 4y agoIt can make a maximum difference in cost of about 1% of the final sale price, probably less given the cap and average prices of new build properties. I don't think it'll have a big impact on whether the houses sell, we have a huge undersupply of new housing.
- amalgamated_inc 4y agoYes. Now add 1,000 other regulations. Oh my, how the price of housing has gone up!
- aembleton 4y agoAs there aren't enough houses to meet demand, the price is a function of available credit.
- IanCal 4y agoDevelopers will often do the cheapest thing they can, that doesn't necessarily lead to big differences in the end cost to buy but putting in copper to save a little on construction would be pointless overall given the changes that are happening. More importantly I think this law forces right of access for installing fibre in various situations, which has been a stumbling block for doing the work in other cases. Just from a quick scan of the coverage though.
- jen20 4y agoAre you suggesting that the cost of materials has any impact at all on the inflated price of a house in the UK?
- amalgamated_inc 4y agoNot just materials, but materials too, yes. But time and effort is probably more costly.
- jen20 4y agoLand value and inflation driven by supply shortage are the actual drivers of house prices in the UK. Especially with new builds, the BOM is very small, and houses are built typically to an exceptionally poor standard.
- aembleton 4y agoBut there is a cap on how much houses can be and that is the credit available to make the purchase. So house prices are largely a function of available credit.
- neximo64 4y agoNot really. You still have to buy the internet package from the ISP which is gigabit speed enabled. This only ensures it is available. The law isn't that free gigabit internet is to be offered to all houses.
- amalgamated_inc 4y agoBut somebody now has to hire a lawyer and check that regulation wasn't violated. Processes have to be changed. If the law makes any difference at all, somebody had to change something, and that cost is being passed on to the consumer (=buyer/renter).
- _joel 4y agoI'd say very minimal compared to the rest of the costs of building a house.
- amalgamated_inc 4y agoSure. Now add the millions of other "tiny" regulations.
- leoedin 4y agoIt's building regulations - basically what's called "code" in the US. The building inspector (should) make sure it's followed. No lawyers needed.
- amalgamated_inc 4y agoWho pays for the inspector?
- paxys 4y agoI bet there was a vocal group of people who had the same complaint back when they mandated electrical circuit breakers and water/sewer hookups.