Does a Smart Thermostat Increase Home Value?
There are so many questions that come up when you prepare to list your property for sale and start a new chapter. You want the process to go as smoothly as possible, and obviously, you want to earn the highest possible price. So does a smart thermostat increase home value?
The short answer is yes, but maybe not in the way you think. An appraiser won’t add a line item for a thermostat on your wall. But more and more homebuyers are putting smart home technology on their list of non-negotiables.
The rationale is simple - a high-quality smart thermostat simplifies how you control the climate in your space, keeping it comfortable year-round. But it also saves you money on your energy bill every month.
We’ll walk you through everything you need to know about adding a smart thermostat to your home before selling it, including how to choose the right technology that maximizes your return.
Key Takeaways
- A smart thermostat won’t show up on an appraisal the same way a brand-new roof would.
- It absolutely makes your home more attractive to buyers and can speed up the sale, though.
- Zillow research found that listings mentioning a programmable thermostat sold nearly a week faster than comparable homes that didn’t.
- 58% of real estate agents say energy-efficient features add value to a home.
- ENERGY STAR estimates that you can save 8% a year on heating and cooling bills with a smart thermostat. Mysa can save you between 15-26 %.
- The thermostat matters. Look for ENERGY STAR certification and Matter support to maximize your ROI. Mysa is the #1 choice on the market.
How Smart Thermostats Work
A WiFi smart thermostat replaces the standard box on your wall. It connects to your home network and puts you in full control of your home’s climate, all from an app on your phone. You set heating and cooling schedules for each day of the week. The thermostat does the rest.
You can already see the appeal. No bothering with daily manual adjustments, or stressing about whether or not your AC is still running while you’re already out of the house. You can pull up your phone and make any adjustments right then and there.
Most models go beyond basic scheduling, though. Geofencing uses your phone’s location to determine when you’re home and when you leave, then automatically dials the temperature back to save money. A lot of models will then revert back to your schedule as you get closer to the house, so it’s comfortable when you enter.
Vacation mode holds the system at a set point while you're away. Zone control lets you run different temperatures room by room if you have multiple thermostats, so you stop paying to heat a guest bedroom nobody sleeps in. There are so many cool features these days.
What matters for your home value is what all of this leads to - solid energy savings without any effort on your part. That being said, does a smart thermostat increase home value?
Does a Smart Thermostat Increase Home Value?
There’s no specific dollar figure associated with adding a smart thermostat to your home. So telling you “yes, absolutely - you will pay a few hundred bucks for the device, and it’ll earn you a couple extra thousand on your sale price” would be disingenuous.
The thing is, home value is shaped by countless variables. It’s nearly impossible to isolate a single device as the reason your home commanded a higher value. But we have enough evidence on what influences buyer decisions to say anyone selling their home should consider investing in a smart thermostat.
Why Buyers Want to See a Smart Thermostat
There are plenty of buyer surveys and ample real estate data suggesting a smart thermostat is a worthy addition to your home. A lot of it comes back to these three reasons.
Convenient Control
Buyers will walk through your open house and see the smart thermostat on your wall, and they know that climate control is as convenient as it gets. The device supports app control from anywhere in the world, with automated scheduling to adjust temperature when nobody is home. This could be the deciding factor for a buyer touring two very similar houses.
54% of buyers in a Coldwell Banker 2015 smart home survey said they’d pay more for a home with smart technology already in place. Temperature control was the second most important feature (right behind security). Nearly a decade later, this type of control is more sought-after than ever - and it’s more accessible than ever, too!
Energy Savings
So, does a smart thermostat increase home value? This is the strongest case for yes - it saves money every single month. ENERGY STAR data shows the average smart thermostat can cut cooling/heating costs by about 8%. Just for the sake of comparison, Mysa’s device can save you between 15-26% - well above average. That’s why it’s the best in its class.
But let’s put that into perspective. Say your household spends $900 a year on climate control (that’s the national average, according to ENERGY STAR). You could save $72 a year on the low end. Way more with a more sophisticated device like Mysa!
You can use our smart thermostat savings calculator to get a better sense of what you can save if you want to buy a device for your new home after selling yours. But most of our customers find that the payback period comes within a year.
Aesthetics
This one gets overlooked, but it’s just as important. Old thermostats look awful on a wall. A beige plastic rectangle with a tiny LCD screen tells buyers the home is dated.
On the other hand, a modern thermostat with an LED display and a flush wall mount can have as profound an impact on buyer perception as brand new fixtures and fresh paint. It just looks clean and updated. It shows the buyer someone genuinely cared about this home. That matters.
The Specific Smart Thermostat Matters!
So, does a smart thermostat increase home value? It certainly can, but the specific device you buy matters. Not every smart thermostat is going to move the needle the same way.
That’s the confusing part about trying to update your home in order to earn a higher sale price. The smart thermostat ecosystem ranges from $25 devices to sophisticated Energy Star smart thermostats. So, let’s get into the stuff that matters most in choosing a device.
What to Look For in a Home Smart Thermostat
Whether you're buying a thermostat before listing or settling into a new place, these are the things you need to look for before ordering:
- ENERGY STAR certification proves energy savings through real-world field testing. Homes with ENERGY STAR rated features stand out in listings.
- Matter compatibility means the thermostat works across Apple Home, Google Home, and Amazon Alexa. The next homeowner isn’t locked into one ecosystem. A Matter smart thermostat is future-proof, which matters given how quickly technology evolves.
- No subscription fees. A thermostat that charges $5 or $10 a month for full features cuts into the savings you’re promised. It also creates more headaches.
There’s the obvious stuff, too - you have to double-check that the thermostat actually works with whatever system is in your house. A model built exclusively for forced air won’t work if your home runs a heat pump. You might need to buy separate devices to control baseboard heating, electric floor heating, mini splits, etc.
This stuff can get a little confusing. Central forced air and heat pumps use 24V low-voltage wiring. Baseboard heaters and in-floor radiant run on 120V or 240V line voltage. Mini-splits just talk to your units through IR. You need to do your due diligence, and don’t be afraid to ask for help if you’re unsure which specific device works with your home’s system.
You also need to make sure you have access to monthly energy data. This is what you’ll rely on to actually slash your electricity bill and get the savings a smart thermostat promises you in the first place.
Mysa checks every box above, and then some. It’s one of the top choices on the market and is widely considered to be one of the best Nest alternatives. It’s only $159 and has zero features gated behind subscription fees.
Backed by a 5-year best-in-class warranty, free shipping, and a 30-day risk-free trial with free returns. What more could you ask for? See what a difference it can make in your home before you sell!
Making the Most of Your New Smart Thermostat
You can usually install a smart thermostat on your own without hiring an electrician. Mysa makes it easy with a guided tutorial within the app. Most customers get the thermostat running in under 20 minutes.
Then, it’s a matter of setting your schedules to keep your home comfortable around the clock. The beauty of Mysa, compared to devices like the Nest 3rd gen vs 4th gen, is it actually sticks to what you tell it to do. A lot of smart thermostats have a habit of developing a mind of their own. That gets really frustrating.
Set up geofencing if your device supports it. This prevents you from wasting energy if you don’t have a perfectly consistent schedule day after day.
Speaking of which, be sure to review your monthly energy data to cut wasted energy where possible. You can use this when you go to sell your home, too. Pull the last 6-12 months of energy data and give it to your agent. They’ll be able to show the value to prospective buyers.
Frequently asked questions
Does a smart thermostat add value to a home?
Yes, there’s real data showing buyers care about this type of technology. It lowers energy bills and simplifies home climate control, which is why homes with smart thermostats are known for selling faster than those without.
Is there a downside to smart thermostats?
Not really. The pros and cons of smart thermostat are very lopsided. The only “downsides” can be attributed to cheap technology that only makes your life more complicated and doesn’t actually save money on your energy bill. This is a no-brainer investment.
Which other smart home features move the needle on property value?
Smart locks, video doorbells, smart lighting, security features - the beauty of a smart home is all of this stuff works together to make your home a more comfortable, easy-to-control place.
How can I be sure my smart thermostat won’t become outdated?
It needs to have Matter support, which is the “future-proof” technology through which devices will communicate going forward. This is the cross-platform standard backed by Apple, Google, Amazon, and Samsung. Mysa has it.
Is it really worth a premium smart home system?
Yes. The return on a $159 thermostat saving $50 to $300 per year is impossible to argue with. There’s no way to put a dollar figure on the convenience and enjoyment these devices bring to your home, either, but you feel it.
Should I buy a smart thermostat before listing my home for sale?
Yes, especially if you plan on still living in the house for a little bit - you can enjoy the same benefits the future buyer will. And, you’ll likely see your home sell faster because of it.
Will all buyers see value in a smart thermostat?
Not necessarily. There are definitely people out there who prefer to remain old-fashioned. Some have called smart home technology “unnecessary complexity.” Those people are the minority, though.
Do I have to hire an expert to install my smart thermostat?
Usually not. Standard 24V systems use color-coded wires and most smart thermostats ship with app-guided install guides. Plan for 15 to 20 minutes with a screwdriver and the breaker off. You can always hire an HVAC tech for peace of mind, though.
Wrapping Up Our Smart Thermostat Home Value Guide
In closing, does a smart thermostat increase home value? The research is in. While the device may not dramatically impact your appraisal, it is worth adding to your home before you sell. Buyers care about this type of technology. It saves them money on their energy bill and simplifies their life.
So, why not take the next step towards getting the highest return for your home in the shortest window of time? Shop ENERGY STAR certified thermostats at Mysa today and see what the hype is all about.
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