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Smart Home Tech: Is It Real Property or Personal Belongings in a Home Sale? - 3/27/2024

Many of today's homeowners have accumulated multiple high-tech "smart" devices to make their home more convenient, economical, and fun to operate.  When they decide to sell the home, they need to make the listing agent completely aware of whether they will be included in the sale of the home. 

Some of these things easily meet the definition of real property because they are permanently installed like thermostats, doorbells, cameras, garage door openers, and pool equipment monitors.  A rule of thumb mentioned frequently is that if it were removed, the functionality would cease or if there would be evidence of where it had been, it is probably real property and is included in the sale.

Other devices like virtual assistants made by Amazon, Apple, or Google, may not specifically meet that criteria but they are needed to operate things like electrical switches and plugs, or lamps.  It becomes a grey area of whether it is real property when TV's, doorbells, garage door openers, and other devices are dependent on the virtual assistants.

Door locks, as well as some other devices, have a master code written on them that allows the new owner to reset the combination ensuring not only their safety but potential liability for the seller.  In some cases, the seller will need to do this using the app on their computer or phone while it is still connected to their home network.  It may be prudent to arrange a time for the seller to reset the devices in question for the buyers' convenience and security.

Smart home additions could easily be a selling point for potential buyers and sellers need to weigh the benefits of promoting the advantages of such and including those items in the sale of the home.

Make an inventory of what devices stay with the home and what needs to be done to reset them for the new owner.  This could be done at the time of listing the home and given to the listing agent at the same time the listing agreement is signed. Your listing agent will know how to handle it, but decisions must be made before the home is put on the market or it is shown to any prospective purchasers.

Manuel Martinez, MBA (c) 693.3064 Bilingual Real Estate Professional Keller Williams Greater Downtown Realty Chattanooga, TN (423) 693-3064 308905 My story: Every transition into a new home should be one of the most epic journeys in a person’s lifetime, whether buying selling, or investing! As someone who relocated from another country and grew up in a city with well over 20 million people, I can appreciate this journey as much as anyone. In fact, one of my most cherished memories as a child, was riding on a train to the Gulf of Mexico to explore my father’s hometown. The train ride brought me priceless encounters with not only new people, but also beautiful landscapes. Since traveling is one of my passions, I have enjoyed visiting an array of beautiful places around the world through various modes of transportation; however, there is something quite special and unique about a train ride. There’s a sense of nostalgia that comes from being surrounded by nature and the unique sounds of a locomotive. I have also found that the journey is as exciting as the destination. You’ll notice my logo incorporates a train; It pays homage to my home town in Chattanooga, Tennessee, the Chattanooga Choo Choo, and to the trains I loved riding as a child in Mexico. Moreover, it also signifies the journey of buying and selling a home. Like a train ride, this journey should be an epic adventure that involves reaching the final destination successfully, while enjoying every step of the way! My goal for my clients is to move along every twist and turn of their buying, selling, and investing journeys side by side, with ease and confidence. I strive to assure clients of my unwavering commitment to build meaningful relationships for years to come, and to consistently show that I have their best interest at heart. My business motto is, “build relationships, serve others and give back”. We can all enjoy the ride knowing that I am fully equipped to handle whatever comes our way because all of my expertise, experience, and education are at work for you when you sell, buy, and invest with me! Let’s write ✍️ your story! Manuel Martinez, MBA (o) 423.664.1900 (c) 423.693.3064 (e) manuelmartinez@kw.com Keller Williams Greater Downtown Realty Contact Me Visit my Website Send a Referral Subscribe to Newsletter