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What is a residential proxy?

Owen Crisp

Owen Crisp

Feb 07, 20259 min read

The most common type of proxies are residential proxies. Residential proxies provide access to residential IP addresses anywhere in the world. Versatile, readily available, and an industry-standard amongst many use cases, residential proxies shine in both personal and professional settings. In this article, we’ll cover what a residential proxy is, break down its sources, and cover common use cases.

What is a residential IP address?

A residential IP address is an IP associated with a real residential device. This can span all devices, from mobile phones and computers to washing machines, refrigerators, and even thermostats. If it’s connected to the network, it’s technically possible for anything to provide an IP address to a residential network.

These IP addresses are known to networks as residential IPs and are registered in databases. This allows any target site to register the IP as a real, residential IP, not one from another source, such as a datacenter.

What is a residential proxy?

Building on residential IP addresses, a residential proxy is an intermediary between you (the client) and the websites and services you’re accessing (the server). A residential proxy is an IP address provided by a residential device and acts as the middleman, masking your original IP to make your traffic appear as if it’s coming from a real residential user. This makes residential proxies highly reliable for maintaining anonymity and avoiding detection when accessing online content; they are a useful addition in many online activities. Residential proxies unlock the net for the world, allowing access to IP addresses worldwide, with some residential proxies providing granular location access right to specific ZIP/postcodes.

What are the different types of residential proxies

Residential proxies come in a variety of different types. Breaking it down, each type has a specific property that makes them good for some tasks, not others. Here’s how we them down:

Static residential proxies

Static residential proxies come with a session time. Simply put, this is a set time that a residential proxy will provide its IP address to you before automatically rotating. The caveat is that this requires the node (the residential device providing the IP address) to remain connected to the network for this time; if a device leaves the network, it can force an early rotation. This session time is a common feature amongst residential proxy services and can usually be configurable. For example, Rampage offers configurable session times of up to 60 minutes for all its residential proxy providers on the dashboard.

Static residentials are popular in services where the IP address needs to remain constant- such as social media account management, where too frequent an IP address rotation could flag an account as suspicious or untrustworthy.

Rotating residential proxies

Unlike static residential proxies, rotating do what they say- they rotate. This rotation period is usually on each request. This means every request you make on a website will provide a new IP address. This has the benefit of increasing anonymity, as the website or service you’re accessing can’t detect multiple requests from a single IP address, making them versatile for use cases where flying under the radar is a must. This type of residential proxy is commonly used in web scraping and data collection.

Mobile proxies

Although still technically a residential proxy, mobile proxies get their mention. Mobile proxies are residential IPs that are exclusively provided by mobile devices. This comes with its benefits, as mobile proxies are often seen as higher quality and more anonymous due to their makeup, at the expense of cost. Mobile proxies are more expensive to source, making them more expensive to buy for the consumer. The key factor contributing to their price is the networking protocol they rely on. Carrier-grade network address translation (CGNAT) lets multiple mobile devices share the same public IP address, making it significantly harder for websites and services to trace activity back to a single user through IP address identification.

How are residential IP addresses sourced

To build a residential proxy network, the IP addresses first need to be sourced. Any reputable company like Oxylabs or Bright Data will ensure ethical sourcing of their IP addresses. The sourcing of residential IP addresses can be a contributing factor to their cost. Sourcing can affect availability, and in turn, price.

There’s a few ways residential IP addresses are sourced for a proxy network, such as:

Software development kits (SDK’s)

Some companies integrate proxy functionalities directly into third-party apps through software development kits (SDKs). When users install these apps and agree to the terms and conditions, they consent to their device being part of a larger proxy network. This allows the proxy provider to lease out the IP address of that device to clients. While this method can be ethical if transparent consent is provided, it's crucial for users to be aware of what they're agreeing too. SDK’s are commonly built into mobile apps where their apps gain a high virtual footfall (like addictive mobile games), or can be found sometimes on pre-installed apps that ship with a device.

Peer-to-peer (P2P)

Peer-to-peer networks use the collective power of mass user devices to create a proxy network. In this setup, users willingly share their IP addresses with the network, usually for a reward such as vouchers or cash depending on the bandwidth, allowing other users to route their traffic through these residential IPs. This sourcing relies heavily on user participation, and reputable providers ensure participants are fully informed and have the option to opt-out at any time. This is common method for VPNS- such as Hola, which supplies its users IP addresses to Bright Data to be sold as part of their residential proxy network. In exchange for using the service for free, users agree to share their bandwidth with the wider network; benefitting from the uses of the VPN services for free and, in turn, joining the network.

Where are residential proxies used?

Residential proxies are incredibly versatile, from personal to corporate, but some use cases particularly benefit from their unique properties. Here are a few key examples:

Accessing geo-restricted content

Many streaming services and websites restrict content based on geographical locations. Residential proxies allow individuals to bypass these restrictions by routing their traffic through IP addresses in different regions all across the world; unlocking the net. This is a popular method of reading news in another country, or accessing streaming services such as Netflix.

Enhancing online privacy

For those worried about online privacy, residential proxies offer another layer of protection. Because residential mask your original IP address, they make it harder for websites and advertisers to track your browsing habits, as well as hide your original location. This added anonymity can be particularly valuable when handling sensitive information or avoiding targeted ads, as not only is your traffic kept hidden but so is your location.

Web scraping

Web scraping involves extracting large amounts of data from websites, often for purposes like market research, data analysis, or competitive intelligence. Residential proxies are both a gold standard for scrapers and an essential in this process as they help avoid IP bans and CAPTCHAs by mimicking the behaviour of real users and their IP adresses. Their ability to provide diverse, geo-located IP addresses makes them ideal for scraping data from sites that implement strict anti-bot measures, or lock content behind the borders of countries. Without residential proxies, most data collection service would grind to a halt- including your favourite LLMs (all trained using scraped data from the web using, you guessed it, residential proxies!).

Price monitoring

Price monitoring involves collecting, processing, and analysing competitors' pricing data. Businesses use this information to track market fluctuations and stay competitive. Residential proxies help mimic genuine user access, enabling seamless data collection from e-commerce sites without triggering blocks or CAPTCHAs and keeping businesses on the bleeding edge of pricing and planning.

Ad verification

Ad verification ensures that online advertisements are displayed correctly and reach the intended audiences. Using residential proxies means advertisers can view ads from all geographical locations, verifying that campaigns are running as intended across platforms like Facebook, Amazon, and Google. This is not only crucial for making sure adverts are showing in the right places, but also for tasks such as preventing advertising fraud or ensuring proper ad spend.

A common question that arises in the proxy industry is, "are residential proxies legal?". Given that residential proxies utilise real people’s IP addresses, it's understandable that their legality is often questioned. The answer isn’t straightforward. First and most importantly, residential proxies should never be used for illegal activities, such as scraping copyrighted data or accessing restricted content without permission. It's always advisable to seek legal advice regarding your specific use case to ensure compliance with relevant laws in your region. For example, using residential proxies to scrape publicly available data is typically legal, but scraping private or protected content (usually behind a login) without consent is not.

Conclusion

Residential proxies are a tried and tested tool in navigating the web, lending their versatility in location and accessibility, with their increased anonymity, to users all over the world. No matter whether you're a business looking to monitor prices, verify ads, or scrape data, or an individual aiming to protect your privacy and access geo-restricted content, residential proxies are an essential part of the toolkit.

And the best part? Rampage makes residential proxies easier. We’ve bought some of the biggest residential proxy providers in the world to your fingertips, with the easiest access and the best prices. Using just your own account with us, purchase and generate any of the 10 biggest residential proxy providers in one dashboard. Big name brands such as Oxylabs, Smartproxy, IPRoyal and Bright Data all at your fingertips- with no contracts, expiries, or commitments. Purchase today, from just 1GB.

Frequently asked questions

A residential proxy is an intermediary server that routes your internet traffic through IP addresses assigned to real residential devices by Internet Service Providers (ISPs). This makes your online activity appear as if it's coming from a genuine household.

Residential proxies use IP addresses associated with real residential devices, making them appear as genuine users. In contrast, datacenter proxies utilize IPs provided by data centers, which are more easily identifiable and may be restricted by certain websites.

Residential proxies are versatile and commonly used for accessing geo-restricted content, enhancing online privacy, web scraping, price monitoring, and ad verification.

The legality of residential proxies depends on their use. They should never be used for illegal activities, such as unauthorized data scraping or accessing restricted content without permission. It's advisable to consult legal guidance to ensure compliance with relevant laws in your region.

Residential IP addresses are typically sourced through methods like integrating proxy functionalities into third-party apps via software development kits (SDKs), where users consent to their devices being part of a proxy network, or through peer-to-peer (P2P) networks, where users willingly share their IP addresses, often in exchange for rewards.

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