Ray White Group Chief Economist, Nerida Conisbee, said the growing adoption of technologies that can save or earn households money is transforming residential property into a more financially attractive asset class.
“If these technologies become widespread, they will add a financial return to home ownership. And when a home delivers a financial return, it becomes more desirable to own, a shift that inevitably places upward pressure on values,” Ms Conisbee said.
She noted that household energy systems are leading this transformation, with rooftop solar now installed on more than a third of Australian homes and battery uptake accelerating.
“Battery uptake is growing, with more than 180,000 installed nationwide and some estimates placing the figure above 270,000. The Cheaper Home Batteries Program, introduced in July 2025, is accelerating this trend,” she said.
According to Ms Conisbee, a significant policy change will further drive this shift in the energy landscape.
“From July 2026, households in New South Wales, South Australia and South-East Queensland will have access to three hours of free electricity each day under the federal ‘solar sharer’ scheme,” she said.
“For homes with a battery, the benefit is substantial: free electricity can be stored and used later, significantly reducing annual costs. The same applies to electric vehicles if they are parked at home during the day.”
Ms Conisbee highlighted that virtual power plant (VPP) schemes are expanding across multiple states, creating additional income opportunities for homeowners.
“These programs link thousands of home batteries so they can stabilise the grid during periods of high demand. South Australia is the most advanced, but programs now operate in New South Wales, Queensland and Victoria through retailers and network operators,” she said.
Beyond energy systems, Ms Conisbee identified emerging technologies that could further enhance a home’s income-generating potential.
“Some companies are trialling systems that allow homes to contribute unused computing capacity to distributed networks. Smart-home sensors are producing detailed environmental and usage data that may eventually have commercial value to insurers, councils or infrastructure planners,” she said.
The impact on property values could be significant, according to Ms Conisbee, as markets typically capitalise income streams into asset prices.
“When a property produces an income stream, markets value it more highly because it offers a financial return as well as a place to live. Buyers respond to that combination,” she said.
“A property that can earn or save money is simply worth more to prospective buyers, which means they are willing, and able, to bid higher for it. Investors are also more likely to enter the market when a home offers a predictable financial return.”
Ms Conisbee cautioned that government policies will influence the extent of these benefits, with potential adjustments to tariffs and participation rules as technologies become more widespread.
“Even so, the direction is clear. Homes will not become major income generators, but they will deliver financial value in ways they previously did not. These benefits will make many homes more desirable and, in turn, help push values higher,” she concluded.
