What Is a Smart Home?

A smart home refers to a convenient home setup where appliances and

devices can be automatically controlled remotely from anywhere with an
internet connection using a mobile or other networked device. Devices in a
smart home are interconnected through the internet, allowing the user to
control functions such as security access to the home, temperature,
lighting, and a home theater remotely.

KEY TAKEAWAYS

 A smart home allows homeowners to control appliances, thermostats,

lights, and other devices remotely using a smartphone or tablet through
an internet connection.
 Smart homes can be set up through wireless or hardwired systems.
 Smart home technology provides homeowners with convenience and
cost savings.
 Security risks and bugs continue to plague makers and users of smart
home technology.
 Though full-scale home automation may cost thousands of dollars,
smaller individual products costing less than $100 can get homeowners
started on smart home products.

How Smart Homes Work

A smart home’s devices are connected with each other and can be accessed
through one central point—a smartphone, tablet, laptop, or game console.
Door locks, televisions, thermostats, home monitors, cameras, lights, and
even appliances such as the refrigerator can be controlled through one home
automation system. The system is installed on a mobile or other networked
device, and the user can create time schedules for certain changes to take
effect.

Smart home appliances come with self-learning skills so they can learn the
homeowner’s schedules and make adjustments as needed. Smart homes
enabled with lighting control allow homeowners to reduce electricity use and
benefit from energy-related cost savings. Some home automation systems
alert the homeowner if any motion is detected in the home when they're
away, while others can call the authorities—police or the fire department—in
case of imminent situations.
Once connected, services such as a smart doorbell, smart security system,
and smart appliances are all part of the internet of things (IoT) technology, a
network of physical objects that can gather and share electronic information.

Security and efficiency are the main reasons behind the increase in smart
home technology use.

Smart Home Systems

Smart homes can feature either wireless or hardwired systems—or both.
Wireless systems are easier to install. Putting in a wireless home automation
system with features such as smart lighting, climate control, and security can
cost several thousand dollars, making it very cost-friendly.

The downside to wireless systems is you likely need strong Wi-Fi coverage
and broadband service throughout your entire house. This may require you to
invest in range extenders or hardwired wireless access points. Wireless
smart home systems are generally more appropriate for smaller existing
homes or rental properties due to their smaller size.

Hardwired systems, on the other hand, are considered more reliable and are
typically more difficult to hack. A hardwired system can increase the resale
value of a home. In addition, hardwired smart home systems can easily be
scaled; therefore, it is often the default method when designing a new build or
performing a major renovation.

There is a drawback—it's fairly expensive. Installing a luxury and hardwired

smart system can cost homeowners tens of thousands of dollars. In addition,
you must have space for network hardware equipment including ethernet
cables.

How to Create a Smart Home

Heating

Smart home products now allow for greater control over heating devices
including when products are turned on, turned off, and controlled. Smart
products may be armed with temperature or humidity sensors to
automatically turn on or off if certain criteria are met. This line of smart home
innovations also extends to air conditioners.
This lighting category may also contain smart home products that control or
prevent light. Automatic blinds may be installed and set to close based on
sunrise schedules. Alternatively, electronic curtains allow users to manage
their bl,,,,,,,,,,,vvf rc4 4ind. n,,..,.s using a handheld device.

Audio/Visual

One of the more fun aspects of smart homes, many entertainment products
are now heavily connected to each other and can be controlled with a single
remote. Television and speakers now have greater capabilities to be played
on command using applications, including being maintained on a schedule or
being voice-controllable.

Security

One of the most reasonable aspects of a smart home is the enhanced

security capabilities. Many products now have camera capabilities that track
motion, capture video, or allow for live video feeds. This may be installed to
sync with a ringing doorbell or set to display on certain areas of your property.
These videos may allow for video-calling with the individual at your door,
including audio capabilities.

Many smart homes are also refit with modern security kits. This includes
motion sensor detectors when individuals should not be home, home
monitoring, notifications and alerts of suspicious behavior, and the ability to
lock doors or windows remotely using a phone.

Other

A very large section of smart homes relates to digital assistants or home

hubs. These products are often interacted with using your voice and can take
commands, field questions, organize your calendar, schedule conference
calls, or provide alerts. Though not specifically related to one's home, these
digital assistants provide a broad range of controlling smart assets, their
schedules, and their statuses.

Smart smoke and carbon monoxide detectors not only sound an alarm but
can be synced to your phone to alert you should you be away from your
property. These devices can often be set up to send emergency notifications
to specified contacts.
Automated irrigation systems have had the ability to be programmed for a
while. Now, smart irrigation systems field climate and environmental
conditions an factor those traits into existing water schedules. Smart irrigation
systems monitor moisture-related conditions and strive to conserve water.

When budgeting for smart home products, consider any required or

necessary labor/installation costs from professionals.

Advantages and Disadvantages of Smart Homes

Pros

Installing a smart home technology system provides homeowners with

convenience. Rather than controlling appliances, thermostats, lighting, and
other features using different devices, homeowners can control them all using
one device—usually a smartphone or tablet.

Since they're connected to a portable device, users can get notifications and
updates on issues in their homes. For instance, smart doorbells allow
homeowners to see and communicate with people who come to their doors
even when they're not at home. Users can set and control the internal
temperature, lighting, and appliances as well.

For the cost of setting up the smart system, homeowners can benefit from
significant cost savings. Appliances and electronics can be used more
efficiently, lowering energy costs.

Cons

While the smart home offers convenience and cost savings, there are still
challenges. Security risks and bugs continue to plague makers and users of
the technology. Adept hackers, for example, can gain access to a smart
home's internet-enabled appliances. In October 2016, a botnet called Mirai
infiltrated interconnected devices of DVRs, cameras, and routers to bring
down a host of major websites through a denial of service attack, also known
as a DDoS attack.

Measures to mitigate the risks of such attacks include protecting smart

appliances and devices with a strong password, using encryption when
available, and only connecting trusted devices to one's network.
As noted above, the costs of installing smart technology can run anywhere
from a few thousand dollars for a wireless system to tens of thousands of
dollars for a hardwired system. It's a heavy price to pay, especially since
there may be a steep learning curve to get used to the system for everyone in
the household.

Smart Homes

Pros
 Are often more convenient than traditional methods of scheduling,
controlling, or accessing products
 May enhance security due to notifications or alerts
 Offers multiple ways of performing a certain task (i.e. lights can be
manually turned on or scheduled)
 May result in long-term cost savings when considering efficient energy
use

Cons
 May pose security risk as products are connected to networks and can
be hacked
 May require additional work for homeowner to track additional
passwords and monitor product security
 Are often more expensive than their less smart counterpart products
 May result in steep learning curve, especially for those not
technologically-savvy

Home Much Does a Smart Home Cost?

On one hand, more and more smart home products being brought to market
will continually put pressure on manufacturers, competition, and product
prices. On the other hand, these incredible innovations are continually
expanding what they are capable of and may be assessed price premiums.
When considering smart home products, perform a cost-benefit analysis to
determine whether the price exceeds the convenience.

According to HomeAdvisor, it may cost up to $15,000 to fully automate a four-

bedroom, three-bath home. Average total home automation costs is just
under $800, though fully-connected luxury homes may run into the six
figures.1
In general, a smart home can start by being very focused on a specific
product or room. This strategy allows individuals to invest in smart technology
for minimal capital. Consider the following options priced at less than $100 as
of September 2022:

 Google Nest Mini, the home audio and assistant device2

 Amazon Smart Plug, a method of automating appliances3
 Ring Smart Doorbell, a video-enabled camera for home security4
 Wyze Thermostat, a digital, wireless, programmable heating device5

On the other hand, larger smart home technologies (with more capabilities)
often cost thousands of dollars. For example, Vivant's Premium Plus Package
for home security cost over $2,300 at writing.6 Alternatively, the LG 30.8
cubic foot Door-in-Door smart refrigerator could be had for a little over
$7,000.7

What Is In a Smart Home?

Smart homes can choose to have smart speakers, lights, thermostats,
doorbells, or home hubs. Smart technology can also extend to kitchen
appliances or outdoor or landscaping equipment. New innovations are
continually evolving what is in a smart home.

Why Is a Smart Home Important?

A smart home is important because it allows a household to become more
energy efficient. In addition, it allows a household to save time and perform
tasks more efficiently. A smart home is important because of the convenience
it provides over traditional methods of performing tasks.

Can a Smart Home Be Hacked?

Yes. Because home automation often requires a live network connect, home
automation systems can be hacked if the security protocol of the smart home
product has inadequate security protocols. In addition, individuals must take
additional care to not share or disclose sensitive log-in information as these
devices may require a password or personal device access to control.

Is a Smart Home Worth It?

Investing in a smart home is a cost-benefit analysis that often requires an
upfront investment to equip your house with the appropriate products. In
addition, there is the cost of needing to train yourself and become competent
in understanding how to use the products. However, the benefits of saving
time performing tasks as well as potential utility cost savings may make a
smart home worth it.

The Bottom Line

Leveraging innovation and technology, smart homes make it easier to do
things. Whether it is controlling applications using your phone or scheduling
products to perform tasks at certain times, smart homes have revolutionized
the way individuals do things, consume energy, and interact with their home
products.

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