Last year was huge for smart home technology. Not only was it one of the most featured hot items at builder tradeshows, it's all everyone is talking about. More builders are adding smart home into their line of homes today than ever before. Let's take a look.
1. Market Growth
The smart home market is growing at a rapid pace. In fact, the smart home market is forecast to reach $53.5 billion worldwide by 2022. Smart home is quickly moving past the early-adopters stage, with a majority of consumers accepting and often demanding smart technology in new and existing homes.
2. Millennial's Impact
The fastest growing age group of new homeowners according to Bloomberg are Millennial's, having grown from 34.7% to 36% between 2016-2017. While still low compared to the average homeowners age of 65 and older (79.2%), this generation of young homebuyers have grown up with technology, and the convenience and connectivity it provides. Experts agree, this younger generation of homebuyers may find home technology as potentially more important than other common features of a new home.
3. The Motivating Factor
In our last blog, we spoke about how Family Safety (63%) and Convenience (54%) are the top motivations for consumers adopting smart home technology.
Family Safety & Security: The home security market is expected to grow by over 27% in the periods from 2017-2021. Features such as the ability to lock and unlock doors remotely, motion detection, live video are some of the top requested features in smart home security.
Convenience: Remote and voice control over entertainment, lights, locks, thermostats, shades, and other technologies also ranked highly on the list. These technologies give homebuyers lifestyle benefits that allow them to stay connected to their home with a virtual presence. In fact, smart home technology can even alert homeowners of doors that are left unlocked, windows that are open, and even answer the door while on vacation with video doorbells.
4. Increased Home Value
Smart home technology can increase the value of a home as well as help the home sell faster. According to Consumer Reports, homebuyers are willing to pay 3-5 percent more for a smart home with the right amenities. Additionally, Coldwell Banker believes that smart home technology gives their homes a competitive edge that helps the home sell more quickly.
Thinking about bringing smart home into your line of homes? Let your first step be with Clare.
We'll help you successfully implement smart home into your business model. If you wish to learn more about the Clare Builder program, download our Playbook below, or contact us to get started.