Buyers Will Pay More for Smart Tech Features

August 30, 2016

Home buyers are willing to pay extra in order to have a smart home, according to several new studies. Network-connected thermostats, security devices, appliances, and lighting already installed in a home may help home owners sell their properties faster and for more money, reports The Washington Post on the studies’ findings.

Fifty-seven percent of home shoppers eyeing older homes say they would consider them updated and more appealing if they had smart-home features installed, according to a survey of 1,250 American adults conducted by Coldwell Banker Real Estate. Sixty-one percent of millennials say they would favor a home that had smart-home features; 59 percent of parents with children living in the house say they would too.

Another recent survey this year conducted by John Burns Real Estate Consulting also found Americans heavily favoring, and willing to pay extra for, smart-home features when shopping for a home. Sixty-five percent of nearly 22,000 home buyers surveyed said they’d be willing to spend more for a home with smart-home technology. More than half of those surveyed said they’d be willing to pay extra for interior and exterior security cameras, network-connected appliances, doorbells with text alerts and access to security cameras, smart air filtration vents, and more.

Some appraisers say they are making adjustments when comparing a smart home with a similar home that does not have such features.

“Smart-home technology can definitely add to market value,” Pat Turner, an appraiser in Richmond, Va., told The Washington Post. “If you have the data showing that houses with smart technology sell for more, then you’ve got to.”

Source: “Buyers Say They’re Willing to Pay Extra for ‘Smart’ Homes,” The Washington Post (Aug. 24, 2016)