On November 8, 2025, industry research highlighted a significant shift in the U.S. residential market, with an increasing number of buyers—especially younger generations—prioritizing smart-home technology, energy-efficient features, and overall technology-enabled upgrades in their property choices. This growing trend was underscored in a recent analysis of “Top Real Estate Technology Trends 2025,” which detailed the heightened demand for Internet of Things (IoT) devices, smart neighbourhood integrations, virtual property tours, and streamlined property marketplaces. These technologies not only enhance the convenience and functionality of homes but are increasingly becoming essential elements of the buying decision.
The surge in interest is largely driven by younger buyers, including Millennials and Gen Z, who are looking for homes that provide the latest technological advancements. For them, smart-home features such as automated lighting, energy-efficient appliances, and security systems are no longer considered luxuries, but necessities. Additionally, the growing prevalence of remote work and home-office setups has made technology features even more important, with homebuyers seeking properties that are ready for work-from-home lifestyles. Buyers today expect homes to offer seamless connectivity, energy savings, and an environment that supports their increasingly digital and flexible ways of living.
Not only are high-end, luxury homes adopting these cutting-edge technologies, but there has been a noticeable shift across mid-market segments as well. The integration of smart-home systems, energy-saving technologies, and even remote work-friendly setups is being seen in properties across all price ranges. This broad adoption is partly driven by the increased importance of energy efficiency and sustainability, which have become essential factors in the purchasing decisions of environmentally conscious buyers. Homes equipped with solar panels, energy-efficient appliances, and smart thermostats are especially attractive in an era where buyers are more mindful of reducing their carbon footprints and lowering utility costs.
For real estate professionals—whether they are realtors, developers, or homeowners—the increasing demand for technology-driven upgrades represents both a challenge and an opportunity. Sellers who invest in retrofitting their properties with smart technologies are likely to see a stronger market appeal, as these upgrades cater to the evolving preferences of potential buyers. Features such as home automation, smart lighting, advanced security systems, and integrated energy management not only make properties more attractive but can also significantly enhance the overall living experience. In addition, the rise of property marketplaces that offer virtual tours and online transactions has streamlined the entire buying process, making it easier for buyers to explore homes without ever setting foot on the property. This convenience is especially valuable in a fast-paced, tech-savvy market.
Furthermore, the growing demand for smart and tech-enabled homes is creating new opportunities for realtors and developers to differentiate their properties from the competition. In a crowded market, tech-forward homes can stand out, offering added value that traditional homes may lack. Developers who integrate IoT devices, smart appliances, and energy-efficient features into their new builds are better positioned to attract the tech-savvy buyers of tomorrow. Similarly, realtors who embrace digital tools, such as virtual tours and digital closings, are able to cater to a broader audience and provide an enhanced buying experience.
Ultimately, the increasing adoption of smart-home features and technology-driven upgrades in the U.S. residential market signals a new era in real estate. Homes are no longer just places to live—they are becoming fully integrated hubs of technology that meet the demands of modern buyers. For those looking to sell or invest in real estate, embracing these advancements could mean a stronger market position and greater appeal in a rapidly evolving industry. As smart-home and PropTech solutions continue to gain traction, it is clear that the future of residential real estate will be increasingly defined by innovation and technology.
