What Will Domotics Bring to the Housing Market?


In the past decade, smart home technology started becoming more affordable and available to the public, gaining it a more modern and succinct term – “domotics.” In present-day Britain, nearly three quarters of homes have some form of smart technology, as explained in this previous article[1]. Nearly half of all respondents who have adopted domotics cite the ability to make everyday tasks easier an important factor, while 55% value the technology for its energy efficiency. The top reason, identified by 59% of users, is to save money on bills and other home expenses in the long run.

Due to these reasons, domotics are widely considered to be the next big disruptor in the housing market. This article explores what exactly domotics are, and what they mean for the future of the industry.

Home is where the tech is

In its feature on smart homes, ‘Thought Company’ explains that domotics literally means ‘home robotics’[2]. Put simply, the term collectively pertains to smart devices that are connected to the internet and to other devices in the home. They allow you to control, monitor, or automate basic home necessities and comforts through Wi-Fi, Bluetooth, or similar protocols.

Because domotics is still in its relative infancy, there is no shortage of possibilities when it comes to what smart home technology can do. At the moment, smart homes are equipped with highly advanced, automated systems that can control and monitor everything from lighting and temperature to security features and air quality. Imagine a refrigerator that can report an inventory of its contents and use it to suggest menus and shopping lists. Other examples include automated locks and remote thermostat controls.

Domotics and the UK housing market

In today’s housing market, domotics present a unique tool to raise home value and spur demand. The current market status is attributed largely to a squeeze in household budgets and weaker economic backdrop in a country still reeling from the effects of Brexit. FXCM explains that although the immediate economic effects of the move were devastating, the long-term repercussions still remain to be seen[3]. Supporters of the policy tout its positive effects on spending reduction and trade alliances outside of the EU, while its opponents predict the suffering of economic growth because of a shrinking export sector and lower foreign capital investment. In terms of housing, Brexit’s effects continue to lean towards the latter, chilling demand and hampering housing investments across the nation. But this is sure to pick up soon with many experts predict a spike this year.

The potential effects of domotics on the housing market bring hope into the picture. Real Estate Tech News[4] reports that smart home technology can help move housing inventories faster, with smart homes more likely to be bought and sold than comparable houses without them. Also, installing domotics in homes can boost the final closing price by 3-5%, with more and more people looking to own domotics-enhanced homes.

Meanwhile, The Independent sheds light on how domotics can help boost rental housing markets as well[5]. Simple upgrades like smart thermostats and remote locking systems can benefit both tenants and landlords immensely, while future connectivity projects for asset management would help improve efficiency on the rental housing market.

At the end of the day, these developments are still nascent technologies which are yet to be fully adapted. Nevertheless, with 193 million smart home devices expected to be shipped by 2020, the future of domotics – and home life as we know it – may be right around the corner.


  1. Homegrown / What Is A Smart Home?
  2. Thoughtco / What Are Domotics?
  3. FXCM / How World Events Impact The British Pound GBP
  4. Real Estate Tech News / How Smart Homes Are Disrupting The Real Estate Industry
  5. The Independent / How Technology Could Revolutionise The Future Of Renting

Your capital is at risk if you invest in property. This includes illiquidity (the inability to sell assets quickly or without substantial loss in value), and the loss of invested capital if the wider property market or an individual property suffers a reduction in value. Investments on Homegrown are not covered by the Financial Services Compensation Scheme. Past performance and forecasts are not indicative of future performance. For more information see our full risk warning. Homegrown Group Limited is authorised and regulated by the Financial Conduct Authority (FRN: 694952). Investments through Homegrown are equity investments.
Future performance is not guaranteed and is based on projections only. Your capital is at risk if you invest in property. For more information see our full risk warning.