Home automation is on the rise, driven by the need to make homes more secure, energy efficient, and to provide greater convenience to homeowners. GlobalData estimates global spending on automated home devices totaled $119.5 billion in 2023 and it will reach $200.8 billion by 2028, which is an 11% compound annual growth rate. This trend is driving builders to make decisions about what types of products, devices, materials, and appliances to put into new homes—and there are three big categories to watch.
The report suggests there are three top automated home subcategories that will make up the lionshare of the market in the next five years including:
- Smart appliances (34%)
- Smart speakers (28%)
- Smart security (25%)
The smart appliances subcategory will see the largest marketshare in the next five years. This lines up with recent trends we have seen among homebuilders.
In one example, we see Stone Martin Builders recently announced plans to construct more than 800 ENERGY STAR-certified homes across Alabama in 2025.
A public-private partnership, ENERGY STAR is a symbol for energy efficiency and is administered by the U.S. EPA (Environmental Protection Agency). Often, these homes have high-performance windows, good insulation, and energy-efficient heating and cooling systems—and yes even smart, energy-efficient appliances help.
Companies, such as Stone Martin Builders, must undergo third-party testing and verification to ensure a home meets ENERGY STAR standards. Homes are inspected and tested multiple times throughout the building process.
Stone Martin Builders has already earned ENERGY STAR certifications on homes in 45 communities throughout Alabama and into Georgia. These particular homes are designed and built to be at least 10% more energy efficient than new homes built to minimum code levels.
While this is one example, the bottomline is security, energy efficiency, and convenience are driving many homeowners to want greater automation in their homes, which is leading builders to construct smarter, greener homes.
Have you put smart appliances, smart speakers, and smart security in your residential projects? If not yet, are you considering it for your next residential build? Technology is coming—and in many cases it is already here. It might be time to consider how home automation is changing how construction builds homes.
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