You’d be surprised. I have one neighbor across the street and my next closest is a quarter mile up the road. I still see multiple Wi-Fi signals to connect to, 2.4GHz wifi can travel way farther than you might think.
Best to let it have an IP but block WAN access so it can’t leave the home network. This also keeps the TV from complaining about not being connected.
Yeah. I’m in the rurals and at any given time can see between 5 and a dozen networks. Years back when I was apartment living, there was a ridiculous number of networks in range, couldn’t even give you a count.
If you’re curious and have an android phone or tablet, check out WifiAnalyzer. It gives a graphical view of nearby Wi-Fi networks, channels they’re on, signal strength, and so on.