By Austin Black II
Smart home technology has stopped being a bonus feature and started being a baseline expectation. Across Metro Detroit — from historic estates in Palmer Woods to new riverfront condominiums downtown — luxury buyers are arriving at showings with a clear picture of what they want a home to do. Here is what that shift looks like on the ground, and what it means if you are buying or selling in this market.
Key Takeaways
- Seven in ten homebuyers are actively looking for smart home features, and 78% say they would pay more for a smart home
- The U.S. smart home market is projected to reach $54.5 billion in 2026 — demand is no longer niche
- Luxury buyers want whole-home integration, not a collection of individual devices
- Detroit's No. 1 luxury market ranking in the Fall 2025 WSJ/Realtor.com report makes smart home investment here especially well-timed
What Luxury Buyers Actually Want
Individual smart devices — a connected thermostat, a video doorbell — are no longer differentiators. What buyers in Detroit's upper price segment are asking about is whole-home integration: lighting, climate, security, and audio that operate through a single interface and work without friction.
Platforms like Control4 and Crestron remain the gold standard. They allow owners to manage every major system from one app or wall panel, and they can be installed in architecturally sensitive properties — like a 1920s Palmer Woods estate — without disrupting original millwork or ceiling detail.
Platforms like Control4 and Crestron remain the gold standard. They allow owners to manage every major system from one app or wall panel, and they can be installed in architecturally sensitive properties — like a 1920s Palmer Woods estate — without disrupting original millwork or ceiling detail.
Features that come up most often with luxury buyers
- Whole-home control platforms (Control4, Crestron, Josh.ai)
- Smart security with remote access management
- Zoned climate control with occupancy detection
- Whole-home audio integrated with lighting scenes
- Energy resilience and backup power systems
Why It Matters More in Detroit Right Now
Detroit ranked No. 1 on the Fall 2025 Wall Street Journal/Realtor.com Luxury Housing Market report. The entry point for luxury here sits around $721,625 — well below the national 90th-percentile average — which means buyers are getting significantly more property for their investment than in coastal markets.
Within that context, smart home infrastructure is becoming a real differentiator. A historic home in Indian Village with updated electrical, structured wiring, and a whole-home platform in place attracts different buyer attention than a comparable property that requires a full retrofit. The cost of that retrofit — both financial and logistical — factors into how buyers weigh their offers.
Within that context, smart home infrastructure is becoming a real differentiator. A historic home in Indian Village with updated electrical, structured wiring, and a whole-home platform in place attracts different buyer attention than a comparable property that requires a full retrofit. The cost of that retrofit — both financial and logistical — factors into how buyers weigh their offers.
Neighborhoods where we are seeing this most clearly
- Historic neighborhoods: Palmer Woods, Sherwood Forest, Indian Village, Boston-Edison
- Condo buildings: Midtown, Downtown, Lafayette Park, the Riverfront
- Suburban luxury: Grosse Pointe Farms, Birmingham, Bloomfield Hills
What Buyers and Sellers Should Do Differently
For buyers, the right question is not whether a home has smart features — it is whether those features are properly integrated and documented. A home with three separate apps, no central hub, and a lapsed security subscription is not a smart home. It is a collection of devices. Ask specifically about the platform, the contracted services, and how user access transfers at closing.
Also check the electrical panel. Older Detroit homes frequently need service upgrades to support the load that whole-home systems require. This is a routine due diligence item that is easy to miss.
Also check the electrical panel. Older Detroit homes frequently need service upgrades to support the load that whole-home systems require. This is a routine due diligence item that is easy to miss.
For sellers, two things move the needle
- Document the system thoroughly — scope, contracted services, transfer protocols
- Demonstrate it during showings — buyers who see integration working assign it more value in their offers
FAQ
Does smart home technology increase resale value in Detroit?
Research consistently shows buyers will pay more for smart homes. In Detroit's luxury segment, where buyers are comparing properties at similar price points, professionally integrated technology is a meaningful differentiator — particularly in historic homes where modern systems are less common.
Are Detroit's older homes compatible with smart home upgrades?
Yes, though it requires planning. Older electrical systems may need upgrading, and installations in architecturally significant spaces benefit from a CEDIA-certified integrator with historic property experience. The result can be fully invisible from an architectural standpoint.
What smart features matter most to Michigan buyers specifically?
Given Michigan's climate, heating system reliability and zoned climate control rank at the top. Security and remote access management are close behind — especially relevant for buyers who travel or split time between properties. Whole-home audio and automated lighting are the most common luxury-tier requests.
Sell Your Detroit Home With City Living Detroit
We know what Detroit's luxury buyers are looking for — and how to position a property to meet that demand. Whether your home already has smart infrastructure in place or you are weighing what upgrades make sense before listing, I can help you think through the decision clearly.
Reach out to me to learn more about how I market Detroit listings from first shoot to final closing.
Reach out to me to learn more about how I market Detroit listings from first shoot to final closing.
