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Home Automation Evaluation: Will Automating Your Home Increase It's Value?

Written by Mikkie Mills on Tuesday, 28 June 2016 2:47 pm
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Many people are inundated with commercials and advertisements that try to sell home automation to them. For individuals who plan to stay in their houses for their entire lives, the decision to purchase a system depends solely upon their wants. However, people who want to sell their house need to decide if a home automation system is appropriate. Making the wrong decision can lead to the house staying on the market for a protracted period of time or to a lower sum of money offered for the property. Considering the benefits and drawbacks of home automation and house value is important.

            Actual House Value

You must understand that the precise definition of value and the abstract definition of value are not the same. When you first consider home automation systems, you likely feel that they add a greater level of security to your home, which, in abstract terms, is added value. However, when appraisers come to your house, they are unlikely to add the home automation system in to the appraised cost. They may provide you with extra value for your security system. Therefore, in a literal sense, the system might not add value to your house.

Attachments and Costs

When you sell a house, anything that is physically attached to the house is included, unless your sales proposal and contract call for something else. Knowing that the home automation system will remain can help to draw buyers to the property. Also, they may be willing to spend more money because they want the system. On the other hand, that means you'll need to purchase a new home automation system when you move to your new house. You have to weigh the costs of buying a new system in comparison to how much more money you will make from installing one in your current house. If you don't currently have one, you are essentially installing the system twice, so you need to make sure that you have the money to do so.

Monitoring and Safety

Most people searching for new homes do make safety a priority. They want to check to see what the surrounding community is like, but they are also concerned about the house itself. A home automation system absolutely adds a layer of security. People can monitor their houses from virtually wherever they are. For some, that is a benefit. However, others view constant monitoring as a drawback. They may have privacy concerns and wonder if anyone else has access to their personal lives. Also, they may feel uncomfortable that you were the previous owner of the system and question if your access is entirely cut off.

Aesthetic Appeal and First Impressions

When people first walk into a house in which they are interested, they immediately begin to make assumptions about it. Therefore, if an element of your home automation system greets them at the door, you are making a first impression that says your house is modern and up-to-date. Many buyers will enjoy that appeal, but that isn't true for everyone. Some people might actually see your use of the automation system as a ploy to make them ignore other problems that may exist in the house.

Your Target Buyers

You have to consider what makes your house appealing to you, but if you are selling, you also must think about what your target buyers want to see. Your target buyers are the people who are most likely to buy your house. For example, if you have a small two-bedroom house, your target buyers are likely singles, couples or couples with one child. No matter who the targeted group is, you must consider if a home automation system is what they want. Some people, for example, are more interested in butcher block countertops or brand new bathrooms than home automation systems. However, others are interested in if your home automation system can save them money on homeowners insurance or other security systems.

Money-saving Properties

A home automation system can also attract buyers and add value in terms of saving money. Make sure that prospective buyers know how a home automation system could help to save them money on energy bills. Buyers generally want to save money; however, you will have some buyers who are concerned about how much the home automation system costs to maintain and run.

Whether or not a home automation system adds value to your house varies. Each element has two sides to it, and getting to know the current market in your area can help you make the right decision.

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Individual news stories are based upon the opinions of the writer and does not reflect the opinion of Realty Times.