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I'm an appraiser. Do any of your neighbors have it? Are you in a higher income area? I'd say unless you are in an area of primarly 500k+ homes it will have little effect on the PRICE. That said it "might" help it sell faster for adding some coolness to the home.
 

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Quote:
Originally Posted by MovieNerd /forum/post/0


I was just wondering if automation ads to the resale value of a house . Does anyone have any experience with selling a automated house? My guess is that it does not.

I sure hope so



I have added a lot of 'stuff' to my home, not to mentioned all of the hours I have spent integrating and programming everything.


On a more serious note, I always have this lingering worry when I do any of this stuff. While I am a DIY and can fix anything that goes wrong, I try to keep in mind when I add this stuff, "what if it breaks and the person who owns the house is not a techie?". To answer that, if my wife can use it w/o having to ask me 'how' then I've done my job. I also use high-quality stuff (Crestron, HAI, Lutron) so if something really goes wrong and I'm not around, there is a dealer somewhere that can straighten it out (although it may cost them some $$$).
 

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I'm taking all my toys when I leave



Seriously, I would think it adds about the same value as a Home Theater. None to the price, lots to the coolness factor which can put your home ahead in the mind of potential buyers. 'If' you find the right buyer who REALLY wants an HT or automated home, but doesn't want to do it themselves then you might get a premium, but most HTers/Automationists want to roll their own. So you might get some benefit of having the backbone in place, but you'll take a bath on equipment costs.
 

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Quote:
Originally Posted by ShapS /forum/post/0


I'm an appraiser. Do any of your neighbors have it? Are you in a higher income area?

I'd go with the above expert opinion. Not only does it add value to a high end home, it can be a very powerful selling feature. We've even been asked to put together brochures for Client's selling their homes as well as been asked to participate in walk throughs with potential buyers.
 

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I was just wondering if automation ads to the resale value of a house

Its actually simple...It depends on the buyer of your house. Appraised and resale value is not identical at all.


I live in that 750K to 1.5 Mil area and most people still dont have Automation and honest dont care about it when they are buying. Sometimes its harder to sell a house with a HT room or lots of Techie stuff because the buyers fear what they dont understand. They will look elsewhere first.
 

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Originally Posted by penngray /forum/post/0


Its actually simple...It depends on the buyer of your house.

Duh. But the fact is that certain add-ons are much more likely to add value depending on the house price and area, as the appraiser noted. If I add a 50K theater to a 100K house, it's a safe bet that I'm not going to find that 1 in 10,000 buyer that will be happy to have the cost added into the home. If I add a 50K theater to a 1 mil house, in an area where theaters are quite popular, it could add real resales value.
 

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Quote:
Originally Posted by ShapS /forum/post/0


I'd say unless you are in an area of primarly 500k+ homes it will have little effect on the PRICE.

I can't argue with any of the logic here but a 500K house in San Francisco looks a whole lot different than one in Dallas!


I plan on taking whatever I can with me and leaving what makes sense. For example, the HAI equipment makes an awesome security only system (albiet an expensive option for security only). So why remove it.


Conversly, while I may take all the whole-house audio/video equipment, wiring and speakers will probably be left behind for the next guy.


Now if the new buyer wanted to 'pay' for the HA systems, I'd probably leave whatever made sense to leave and replace whatever else with less expensive alternatives (for example, my main server does a lot more than just HA, so I'd take it and replace it with something less powerful).
 

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Quote:
Originally Posted by klindy /forum/post/0


I can't argue with any of the logic here but a 500K house in San Francisco looks a whole lot different than one in Dallas!

Very true. There is no such thing as a $500K house in SF. In my neighborhood in Oakland (not even SF), house prices are now just over $500/sqft (after accounting for the recent softening), and there's no such thing as a 1000sqft house. I couldn't afford to buy my own house now.


$20K in HA/HT hardware has no perceptible impact on the sales price or velocity of a house. Folks wouldn't even notice it, and would assume they'd probably rip it all out anyhow.
 

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I think the amount it adds to, or subtracts from, the value of the home depends on several factors:


1. Who's buying it -- some people care, some people don't. I'm amazed at the number of 2 to 4 million dollar homes I go into with NO lighting or HVAC control, or whole-house audio. I mean, stuff that *I* couldn't see myself living without...

2. How easy it is to operate -- if a buyer thinks it will be hard to use, it definitely won't add anything to the value, and might lessen it.

3. Are the components familiar brands, or from manufacturers that have been around for a while -- will the new homeowner be able to get replacements or repairs if something breaks?

4. Is the system well-documented? This is huge, but many CI's (and homeowners) overlook the importance of it. If everything's labelled clearly, there are as-built drawings, and operation manuals, it will *GREATLY* increase the appeal to a potential buyer, because it should be a lot easier to a) figure out how it all works, and b) get it serviced, should the need arise.
 

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I live in Conneticut, and there was a home for sale in New Haven County, 750k if I remember, and the listing for it was a 1/2 page add and it started off with a focus on the home theater, then the controls in the house, and the all the typical real estate info. Not sure if it helped, but the house was gone off the listings two weeks later.


A lot of our clients understand and believe that the technology we add to there home adds to the resale value of there home.
 

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Quote:
If I add a 50K theater to a 1 mil house, in an area where theaters are quite popular, it could add real resales value.

Million $ homes are common where I live (3 on my street), 50K theaters are not. Its 100% depends on where you live. Pools are key here not HT rooms.


It still comes down to the individual buyer and we all agree that its hit or miss. In the end the majority of people still dont care and dont understand automation so the probability is on the side of not helping the sale and increasing the value. Of course it does help the sale if its not a noted increase in price.



Appraisers in Florida DO NOT include Home Automation or Home Audio Video upgrades in to the value of the house. I just finished building mine and nope, nada chance. Heck they dont know $110/SqFt granite countertops vs cheap silestone.


I hope in 3-5 years that changes and it does add value because I would love to sell my house for 50K more
 

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This is an interesting topic. The above post all seem to have valid points.

The term automation can be very broad and even scary to the masses looking for a house.


My gut feeling is that the various sub systems with well known product should bring value to a home in the right market. Maybe something like below for a pecking order of value/marketability.


1. Security system

2. Lighting control

3. House audio system

4. Climate control

5. A/V control

6. Pool/Spa control


How can we get our industry systems to be counted in the appraisers assessments?

Do we just wait until many homes have such systems?

Until the home buyer/seller demand for automation systems to be included in the homes upgrades/selling points?

Pressure from organizations like CEDIA/CEA on the home appraisers organizations?

How did pools end up on the appraisers list?


Just throwing out some talking points here.
 

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Quote:
Originally Posted by penngray /forum/post/0


Appraisers in Florida DO NOT include Home Automation or Home Audio Video upgrades in to the value of the house. I just finished building mine and nope, nada chance.

So the appraiser didn't note the technology in the house?? Good!! I wouldn't want my tax burden to increase over the technology.


The agents WILL notice, and they will use it to sell your place over similar listings in the area.


BTW, this is where the extra money of a Crestron or an AMX from a recognized firm makes a difference. If you have a Million dollar plus home with Crestron or AMX control system which was put in by one of that areas top firms, the potential buyers of that level of home WILL recognize those names.


To fully realize any benefit, the system will need to have touchscreens, a good interface, and rock-solid programming that always works. I would expect that several sub-systems will be seamlessly integrated with a consistent UI.


- lighting control (the number one selling feature)

- whole house audio

- HVAC

- CCTV

- security

etc.
 
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