Smart Technology: The Clever Angle In The Luxury Market

Today, everything from locks to light bulbs to home entertainment can be controlled via smartphone or tablet. And it looks like this technology is not only here to stay, it’s becoming more popular as more devices from smart-home innovators.

Thanks to current smart-home technology, it seems that the futuristic homes of tomorrow are actually more like the homes of today. More and more of us are incorporating home automation with smart technology. Research from Deutsche Telekom, a German telecommunications company, found that an estimated 100 million households worldwide had some type of smart-home device by the end of 2015 and predicted that number is expected to grow to 300 million over the next decade.

Today, everything from locks to light bulbs to home entertainment can be controlled via smartphone or tablet. And it looks like this technology is not only here to stay, it’s becoming more popular as more devices from smart-home innovators like Nest, Amazon and Lowe’s become part of the everyday home.

Why “Being Smart” Matters

While most of us think of smart-home automation as being relatively new, it’s already captured the hearts, minds and wallets of many Americans, particularly in the luxury home market. It’s no wonder then that the Consumer Electronics Show held in Las Vegas in January was bigger than ever with an increased presence of products for the connected home and industry experts who underscored how “smart” is already the next big trend in high-end real estate.

According to one industry insider’s survey, the presence of smart-home technology in a property could potentially positively influence some buyers in their purchase decision. Their research showed, “Eighty-one percent of current smart-home device owners say they would be more willing to buy a home with connected tech in place, while 66 percent say they would leave their smart-home products behind if they thought their house would sell faster as a result.”2 That same survey also showed that most Americans would find pre-installed smart security (58 percent) and technology for temperature control (56 percent) the most appealing smart features when buying a home.

As this technology gains popularity, real estate professionals may be increasingly asked to “smart-stage” homes by highlighting a home’s connected features with a portable device during showings. This represents a huge opportunity for real estate professionals who not only understand the availability and appeal of today’s smart-home technology, but also know how to showcase it. This is especially important for professionals whose clients tend to be high-end buyers who demand a home with “all the bells and whistles.” In other words, getting smart about current smart technology is key for successful showings that appeal to more of today’s smart-savvy luxury home buyers. It’s also a factor in estimating a home’s value in terms of energy efficiency, security and convenience.

Tips to Showcase Your Connected Luxury Home Listing

As smart-homes become more mainstream, they will become more saleable and valuable commodities. Here are a few tips to keep in mind to stay ahead of the market curve:

• If your listing is protected by an American Home Shield® Home Warranty, be sure to remind prospective buyers of all the benefits this industry-leading coverage affords them. Buyers gain confidence and comfort knowing that their hard-earned investment is covered, which can often help expedite the real estate transaction.

• Whenever possible, highlight sought-after, smart-home features in your MLS descriptions in order of consumer preference, i.e., security, temperature control, safety, lighting, entertainment, appliances and overall connectivity.

• Put up signs throughout the home that explain how the technology works so those less obvious smart features aren’t overlooked during a showing.

• Have sellers educate you on operating the technology and controls in advance, so you can make the best impression during showings and open houses.

• If possible, demonstrate how to control the thermostat or appliances from a mobile device.

• Showcase a home’s variable lighting options by demonstrating smart controls that switch from task lighting to a more relaxing mode or specific entertainment mode.

• If your luxury listing doesn’t already have smart features, inform sellers how homes with this kind of technology can help make their listing more competitive.

Want another smart way to help your listings sell quicker and for more money? Learn more about the power of an AHS® Home Warranty. Remember, qualified sellers can add the Seller Coverage Option for up to six months while their home is on the market.

Next > Infographic: 7 Revealing Facts About Your Open House Audience

Coldwell Banker

AHS assumes no responsibility, and specifically disclaims all liability, for your use of any and all information contained herein.

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