The average homeownership duration in the US is only 8 years.
So if you’re planning to sell your house soon…
You might wonder if turning it into a smart home will help you earn more.
Well, today’s your lucky day.
You asked the right tech expert.
Continue reading to find out:
- Whether smart homes sell for more or not.
- 5 practical reasons buyers pay more for smart homes.
- How much your house’s value increases if you turn it into a smart home.
- And this is just the beginning…
Do smart homes sell for more?
Smart homes sell for more. Real estate experts say that adding smart devices to your house raises its value by 5%. And that’s about a $25 000 increase if your non-smart home is worth $500 000. Hence, smart devices are a worthy investment if you plan to sell your house.
Why smart homes sell for more
Here’s the primary reason smart homes sell for more:
They’re very high in demand.
So, even if you markup the price of your smart home…
There’ll always be people willing to pay the price.
See, Coldwell Banker, a reputable real estate company, took a survey in 2018.
And the results from the surveyed home buyers showed that:
- 75% need a smart fire detector.
- 77% want a smart thermostat pre-installed.
- 63% prefer a home with a smart lighting system.
- 66% are looking for houses with smart cameras.
These show that majority of home seekers prefer houses with smart technologies.
And based on the increase of smart devices sold yearly from 2018…
It’s safe to assume that the demand for smart homes has only been higher since.
But honestly, that isn’t so surprising with these…
5 practical reasons buyers pay more for smart homes
#1: They’re move-in ready
Since selling a smart home also means including smart appliances in your house…
You’ll also attract buyers who prefer a move-in-ready setup.
And luckily, based on another survey by Coldwell Banker:
- 80% of home buyers prefer a fully furnished home.
- 70% are willing to sacrifice house size as long as the furniture is provided.
Now, you may think:
“But I can still sell a furnished home without smart devices, right?”
Yes, you can. However, over the years…
The phrase “move-in ready houses” has evolved in the real estate industry.
See, many are already used to the comfort of smart home living.
So, some buyers expect smart devices to be included to consider a house as “move-in ready.”
#2: Safe and secure
If I had to pick a feature traditional houses can’t beat smart homes in…
That would be safety and security.
Because without a doubt…
Smart surveillance systems can protect you better than regular ones.
To expand further, let’s talk about specific smart security gadgets, starting with…
Smart and traditional locks have similar locking mechanisms.
But their difference lies in how you can control your lock.
With traditional models, you can only lock your door in person with a key.
But with smart ones, you can do so remotely.
And some models even automatically lock when:
- It’s nighttime.
- You’ve left them open for hours.
- Your smart home system recognizes that your house is empty.
See, smart locks are much more secure. Because you won’t risk forgetting your door unlocked when you sleep or leave the house.
Further reading: Are Smart Locks Worth It? 5 Things You Need To Know
Smart security cameras
Security cameras without an Internet connection only record events.
But smart models:
- Let you have a 2-way conversation.
- Allow you to monitor your camera in real-time.
- Notify you if motion is detected in or around your house.
Hence, they’re much safer to use than regular ones.
Now, apart from these 2 gadgets, smart homes also keep you safe with their…
Most surveillance systems, traditional or not, have alarm systems.
But here’s why those in smart homes are better:
They’re connected with monitoring companies.
Who, simply speaking, contact authorities on your behalf if your alarm goes OFF.
So, you can avoid worst-case scenarios.
Editor’s pick: Are Smart Homes Safe? 7 Things You Should Know
#3: Lower electricity bills
Many home buyers are willing to pay more for energy-efficient houses.
After all, they help lower your electricity bills.
Plus, they also reduce your carbon footprint.
And you know what makes a house more energy-efficient?
Smart home devices.
The top of the list: smart thermostats.
See, according to the brand Nest…
Their smart thermostats allow you to save:
- 15% on cooling.
- 10-12% on heating.
And based on the average energy consumption in US households…
These percentages equate to about $131-$145 yearly.
Now, that estimate is simply based on your cooling or heating expenses.
So, if you include other energy-efficient smart appliances to the mix, like:
It’s not a long shot to say that…
A smart home can make you save hundreds of dollars on your electricity bills annually.
For many, convenience is their deciding factor when finding a new house.
And no doubt, smart homes win this category over traditional ones.
Because smart devices allow you to…
Control your house using voice commands
We all have those days when we don’t want to move around.
And luckily, inside a smart home, that won’t be a problem.
Because you can control smart devices with just your voice.
For example, if you want to make your room colder, just say:
“Alexa, make my thermostat lower the temperature.”
And your A/C will start cooling down your room immediately.
Some people hate coming home to a freezer-like living room during winter.
Or stressing about whether they’ve forgotten to turn OFF an appliance.
So, they want to buy a house with devices they can control from anywhere.
Imagine coming home after a stressful day at work.
But then, you’re welcomed by a:
- Freshly brewed coffee.
- Newly vacuumed/mopped floor.
- Your favorite show playing on the TV.
And as the icing on the cake…
Your house is set to the exact temperature you want.
Sounds like a far-fetched dream?
This can be just your normal routine inside a smart home.
All thanks to its Automation feature and the help of these smart devices:
Most people are willing to pay more for the convenience shown in this video:
So, don’t be afraid to incorporate smart devices into your house to increase its real estate price.
Smart homes not only let you save money on your bills.
They also allow you to be more time-efficient.
Which is a benefit many people are willing to pay more for.
Instead of manually checking your doorlock and appliances every time…
Your smart home does all the safety checks when you leave the house.
So, you don’t need to waste your minutes doing redundant daily tasks.
On top of this…
Smart homes also minimize household chores by:
- Making robot vacuums clean your floor.
- Giving your pets food with smart feeders.
- Re-ordering groceries through smart refrigerators.
So, busy people, or those who want extra free time, prefer buying smart homes.
Bonus: More appealing
Most won’t admit this, but for many homebuyers…
The best part of getting a new home is the housewarming party that comes after.
And you know what makes this occasion fun?
Getting compliments about your new home.
Hence, most people will try to find a house that’s eye-grabbing.
Or those that appeal with fancy gadgets like smart homes.
And they won’t have a problem paying more for a house that can impress their guests.