Analysis from Nerida Conisbee (pictured), Ray White chief economist, highlights how emerging home technologies are set to influence Australia’s housing market.
Conisbee notes that as new systems begin delivering financial returns to households, they are likely to reshape buyer demand and property valuations.
Rather than simply reducing bills, next-generation systems – including home batteries, EV-to-home charging, smart appliances, and virtual power plants – are beginning to create income and measurable savings streams.
“When a home delivers a financial return, it becomes more desirable to own, a shift that inevitably places upward pressure on values,” Conisbee said.
This comes as Australia’s housing market is forecast to hit record prices by late 2026, driven by cheaper mortgage rates, low supply, and rising incomes. With APRA warning that housing risks are building again, Conisbee says any new demand driver – including value-generating homes – could push prices even higher.
Conisbee points to household energy as the most advanced area of change. Rooftop solar now covers more than a third of Australian homes, and battery installations are estimated between 180,000 and 270,000 nationally. The Cheaper Home Batteries Program, introduced in July 2025, is accelerating the trend.
Batteries allow households to store cheap electricity and use it later. EVs will increasingly provide additional storage, while smart appliances and demand-response programs shift usage to times of excess supply, lowering running costs.
From July 2026, households in NSW, South Australia and South-East Queensland will receive three hours of free electricity daily under the federal solar sharer mandate.
Conisbee notes that this creates substantial savings for homes with batteries or EVs parked during the day, as free electricity can be stored for later use.
Conisbee highlights that virtual power plant (VPP) programs – now expanding across multiple states – offer households bill credits or payments for supporting the grid. As battery uptake grows, she expects VPP participation to become standard in new homes.
Beyond energy, Conisbee notes early-stage technologies that allow homes to contribute unused computing capacity or smart-home data to larger networks. While still small-scale, these developments hint at broader future value streams emerging from the home itself.
“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,” she said.
The Ray White economist says this will increasingly affect valuation and borrowing discussions, particularly as more homes integrate EV chargers, solar, batteries, and grid-interactive systems.
Conisbee explains that income-producing features change the pricing equation:
“When a home delivers an income stream, the market capitalises that return into the sale price in much the same way it does for rental income or commercial yields.”
Homes that operate as micro-generators or micro-savers become more appealing to both owner-occupiers and investors, intensifying competition.
As Conisbee notes, government policy will influence outcomes. Just as feed-in tariffs were wound back over time, future settings for VPP exports, tariffs, and EV-to-home rules may moderate returns.
“Homes will not become major income generators, but they will deliver financial value in ways they previously did not,” she said.
Conisbee warns that with affordability stretched – and Sydney households now spending more than 70% of a dual income on mortgage repayments – even small savings or earnings could meaningfully influence buyer decisions, valuations, and borrowing conversations.
For brokers, the message is clear: as homes become more integrated into energy and digital systems, their financial profile will evolve, and so will client expectations.
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