Reduce Your Energy Bills with a Home Automation System
:strip_icc()/BHG-Smart-Home-Recirc-102335333-de1c2e92879342d287cd495859117d36.jpg)
Smart technology has progressed from our cellular devices to impacting nearly every part of our lives. Thanks to these advances, home automation systems can reduce energy bills and help keep your house and belongings safe. Home automation systems range from smart thermostats to motorized shades, each making a feature of your home easier to operate and more cost-effective. In this article, experts explain the various home automation systems available and how they can reduce energy consumption and save money.
“What used to be considered advanced technology not seen in most homes is now available at nearly every hardware store,” says Courtney Klosterman, a home insights expert at Hippo Home Insurance. “Smart home devices are a good fit for a broad array of homeowners because of their ability to simplify and streamline our daily routines and tasks.”
- Courtney Klosterman is a home insights expert at Hippo Home Insurance.
- Shawn McLaughlin is the founder and CEO of Emporia, a company specializing in home energy management systems.
- Kat Garside is a sustainability and energy-efficiency writer and editor at Integrity Energy, an energy advisory service.
- Robert Roth is the CEO of Quote For Solar, a platform that provides consumers with quotes or estimates for solar energy system installations.
What Is a Home Automation System?
A home automation system can refer to a central hub for all of your home’s smart devices or can be an umbrella term for different smart systems throughout your house.
“Smart home devices connect your appliance to the internet through wireless technology such as WiFi,” says Shawn McLaughlin, founder and CEO of Emporia. McLaughlin says these devices offer major benefits.
How Home Automation Systems Reduce Energy and Save Money
Users can monitor and adjust their smart devices remotely to reduce energy consumption. Some systems, like a smart thermostat, can also regulate themselves to make sure excess energy isn’t wasted. Of course, a reduction in energy consumption is good for the environment, but it can also save homeowners money.
“Homeowners who invest in smart home products have the potential to save money,” Klosterman says. “That’s because these devices are designed for energy efficiency with the goal of reducing the carbon footprint of homeownership, lowering your energy bills, and even saving you money on your home insurance policy. It’s a win-win for the planet and your wallet.”
The Initial Investment
These devices aren’t just made to reduce energy bills. After all, many of them have an upfront cost for installation.
“A simple DIY home automation system focused on monitoring energy use can cost between $100 and $3000, depending on the smart devices you choose,” says Kat Garside, a sustainability and energy-efficiency writer and editor at Integrity Energy. “However, a fully customized professional home automation system can cost anywhere between $2,000 and $150,000, depending on your needs.”
Typically, homeowners who invest in these devices are also looking for convenience.
“Instead of manually turning down the thermostat, locking the door, closing the garage door, and setting the alarm, these things are now all automated,” Klosterman adds.
Types of Home Automation Systems
There are several types of home automation systems, each focused on a different feature of your home.
Smart Thermostats
“The smart thermostat helps HVAC systems last longer by optimizing cooling cycles and preventing unnecessary wear and tear,” Klosterman says. “This technology also learns your routines and preferences, automatically adjusting temperatures throughout the day—even when you’re away.”
Klosterman says smart thermostats can help save up to 10% on heating and cooling costs each year, according to the U.S. Department of Energy.
Lighting Control Systems
Forgetting to turn your lights off before bed or upon leaving the house can waste money and energy. With lighting control systems, you save without lifting a finger.
“Automated lighting controls, like smart LED lightbulbs and smart plugs, can be integrated into your home automation system, enabling remote control features,” Garside says. “From a singular interface, you can see what devices or lights are currently turned on. No TVs or table lamps are forgotten when they’re plugged into a smart plug or energy monitor.”
Motorized Shades
Another way to help with both lighting and HVAC costs is to install smart shades for your home’s windows.
“Motorized shades are a great way to manage winter energy expenses,” Garside says. “Schedule your shades to open South-facing windows during the day, allowing the sun to naturally heat your home using passive solar energy. As the sun starts to set, you can schedule your shades to close, helping to retain heat during cold winter nights.”
Smart Appliances
Smart appliances can include important household items like dishwashers, washing machines, and refrigerators.
“These appliances can be programmed to run during off-peak energy hours, helping you take advantage of lower electricity rates and reduce overall consumption,” says Robert Roth, CEO of Quote For Solar.
Energy Monitoring Systems
Energy monitoring systems combine all of these smart home automation features to assess your overall energy spend and help you narrow in on problem areas.
“Home energy monitors gather real-time, disaggregated data about everything mechanical that is going on in your home,” McLaughlin says. “Think of them as the brain and nervous system of your house that ties all your smart home devices together.”
These systems act as a hub while working in tandem with your smart thermostat, motorized shades, and other devices. McLaughlin estimates that when smart home devices are used in conjunction with home energy monitors, homeowners can reduce their overall energy spend by 10% to 20%.
“They can detect when your oven turns on and immediately adjust your smart thermostat to make sure your home does not set at an expensive peak energy usage rate,” McLaughlin adds. “They can track the rate your utility is charging you for the energy (which often changes three or four times a day), and make sure your smart refrigerator is cooling and your smart water heater is heating during low-cost times of the day.”
Should You Automate Your Home?
When deciding whether or not to add home automation systems to your house, first consider your needs. If you want to save money on overall energy consumption, be sure to weigh the upfront installation costs of these systems versus the potential energy savings. In many cases, these devices do help homeowners save.
“While there may be upfront costs associated with installing a home automation system, these expenses can often be offset by the long-term energy savings you’ll see,” Klosterman says. “By proactively managing your home’s energy consumption, a smart system can help reduce your electric bills, making it an investment that pays off over time.”
Klosterman adds that many home insurance providers offer discounts for homeowners who upgrade to these smart systems, similar to safe driver discounts for auto insurance.
“These devices can help detect issues early, minimize damage, and reduce claims, making them a smart investment for both efficiency and long-term savings,” she says.
link