How to Build Your First Smart Home: A Money-Saving Guide to Best Home Smart Gadgets
- Eliza Slavova
- 5 days ago
- 12 min read

Smart home gadgets can save you money and make your life easier. Smart plugs rank among the most budget-friendly options that help cut energy bills by tracking usage through their apps.
Your smart home setup doesn't need complex or expensive devices. Smart light bulbs reshape the scene of any room and let you schedule lighting to avoid wasting electricity. On top of that, smart plugs give you remote control of everyday appliances like coffee makers and lamps right from your smartphone. Smart power strips help you manage multiple devices at once with centralized control that stops phantom power drain from unused devices.
You can start your trip toward home automation with the right devices to save on monthly bills or enjoy automatic controls. This piece shows you how to pick and set up budget-friendly smart gadgets that deliver real value without breaking your budget.
What Is a Smart Home and Why Build One?
"Imagine living in a house where lights turn off when not needed, temperature is set automatically to optimize energy usage, and electronic devices collaborate harmoniously to develop an economical and intelligent space." — Conure, Smart home technology expert and contributor to IoT For All
A smart home links your everyday devices to the internet, so you can control them from your smartphone, tablet, or voice commands. Traditional homes need manual operation of appliances and systems, but smart homes use automation technology that manages lighting, temperature, security, entertainment with minimal effort.
The smart home market reached USD 50.83 billion at the time of 2022 and experts predict it will reach USD 129.45 billion by 2028. These numbers show how homeowners now see the practical value of connected living spaces.
Benefits of smart home automation
Smart home technology gives you many more advantages beyond just controlling your appliances. Remote access lets you manage your living space in ways that weren't possible before. You can check your home's status from anywhere, set up scenarios before you return, or keep an eye on security cameras with just an internet connection.
Security remains the driving force behind smart home adoption. A 2015 iControl survey found that "personal and family security" topped the list of reasons people buy connected devices, with "excitement about energy savings" coming in second. Smart security systems let you:
Watch your home from anywhere using cameras and motion sensors
Get alerts right away about any suspicious activity
Use smart locks and lighting to keep intruders away
Make it look like someone's home even when you're not
Smart home systems also make daily life much easier. You won't need multiple remotes and switches anymore - everything works through one app. The system can run several devices at once based on your needs. You might set up a "Welcome Home" scene that brightens the house and adjusts the temperature when you arrive, or create a "Peaceful Night" routine that dims the lights and closes the shutters at bedtime.
Families with older members find great value in smart home technology's health monitoring features. Sensors and automated systems help relatives or caregivers check on seniors from anywhere, which means older adults can stay in their homes longer instead of moving to care facilities.
How smart homes save money over time
The original cost of smart home technology might look steep, but the money you save makes it worthwhile. Nest thermostats show this perfectly - studies reveal they can cut heating and cooling costs by about 12%. These devices pay for themselves as your utility bills drop.
Smart homes cut energy waste in several ways. The appliances adjust their settings to run efficiently, and automated systems use resources only when needed. Smart lighting systems turn off lights in empty rooms and adjust brightness based on sunlight.
Live energy tracking through smart plugs and energy systems shows where you're wasting power. You can spot problems quickly and fix them by adjusting power-hungry appliances or running them when electricity rates are lower.
Energy experts say small changes add up to big savings. Your energy bill can drop by 10% just by lowering the thermostat one degree. Smart thermostats do this automatically by watching your schedule and checking weather forecasts.
The savings go beyond just energy costs. Some insurance companies cut yearly premiums by up to 20% for homes with smart security systems. Many smart devices also qualify for Energy Star rebates from utility companies, which helps offset what you spend at first.
Smart homes work even better with renewable energy like solar power. These systems decide on their own whether to store power or use it for specific appliances, which helps both the environment and your electricity bills.
You don't need to make your whole house smart at once. Smart home devices cost less than ever - you can find quality smart plugs, thermostats, and doorbell cameras for under $100. This lets you build your system step by step while starting to enjoy the convenience and savings right away.
Essential Smart Gadgets to Start With

Image Source: The Independent
Starting your smart home journey means picking devices that give you the most features and value for your money. These gadgets are the foundations of a budget-friendly smart home system that saves energy and makes life easier.
Smart plugs for appliance control
Smart plugs can turn regular appliances into connected devices without replacing them. These small adapters fit into your current outlets and let you control almost any on/off device from your phone or with voice commands. The TP-Link Kasa Smart Wi-Fi Plug Slim (EP25) really shines with its energy monitoring feature that shows electricity usage in watts and kilowatt-hours. You'll spot power-hungry appliances quickly and might even cut down your electric bill.
The best smart plugs work with scheduling, remote access, and major smart home platforms. Models like the AiDot Linkind Matter Smart Plug blend perfectly with Alexa, Google Assistant, HomeKit, and SmartThings. You can get started with smart plugs for just $15-25, making them a great first step into home automation.
Smart light bulbs for lighting automation
Smart light bulbs can instantly change any room's mood without complex wiring. The AiDot Linkind Wi-Fi Matter Smart Light Bulb gives you 16 million colors and different white shades while working with all major smart home platforms. You can control brightness, pick colors, and set schedules right from your phone.
These bulbs are 75% more efficient than regular incandescent lights. Some models like the Philips Hue can sync with your TV to match what's playing. Smart bulbs start at $8 for white and $16 for color options. They last between 15,000-25,000 hours, making them worth every penny.
Smart thermostats for energy efficiency
Smart thermostats are one of your best smart home investments. They learn your temperature priorities and fine-tune your heating and cooling automatically. The Ecobee Smart Thermostat Premium stands out because it watches air quality and comes with a remote sensor to manage temperature throughout your home.
Smart thermostats typically save 10-15% on heating and cooling costs. Many power companies give rebates for Energy Star certified models, which helps offset the $130-180 price tag. These devices can tell when you leave home and adjust temperatures automatically, so you won't waste energy heating or cooling an empty house.
Smart power strips for grouped control
Smart power strips take the idea of smart plugs further by giving you multiple controllable outlets in one device. The TP-Link Kasa Smart Wi-Fi Power Strip (HS300) has six controllable outlets and three USB charging ports. You can manage several devices at once while protecting your electronics from power surges.
These strips help eliminate "phantom power" - electricity that devices use even when turned off. They cost between $30-80 depending on features like energy tracking, grouping options, and away modes that make it look like someone's home.
Smart speakers for voice control
Smart speakers act as your smart home's brain. They take voice commands to control other connected devices while giving you information and entertainment. Pick your ecosystem carefully: Amazon Alexa works with over 140,000 smart home devices, Google Assistant connects to 50,000+, and Apple HomeKit supports 1,000+ devices.
Basic models like the Echo Dot or Google Nest Mini cost around $50. Premium versions with better sound quality range from $100-300.
Smart cameras and sensors for security
Smart security cameras let you keep an eye on your home from anywhere. A recent survey shows that almost 20% of UK residents bought wireless video doorbells in the last two years. Look for cameras with at least 1080p resolution for clear images, good viewing angles, storage options, and compatibility with your smart home system.
Good indoor cameras start around $50. Outdoor models that can handle weather usually cost between $100-250, depending on their features.
How to Choose the Right Smart Devices
Smart device selection goes beyond price comparison and bestseller rankings. You need to know which gadgets fit your needs. The right choices about compatibility, monitoring features, and usability will give you a naturally functioning smart home without limitations.
Check compatibility with your ecosystem
Your smart home's success depends on device compatibility. Think over which ecosystem works best for you before buying any smart device. Most households pick one of three major platforms: Amazon Alexa (supporting over 140,000 smart devices), Google Home (compatible with 50,000+ devices), or Apple HomeKit (works with 1,000+ devices).
Compatibility works in different ways:
Protocol compatibility means devices use the same base technology like Z-Wave, Zigbee, or Wi-Fi to communicate directly
Interoperability shows how devices from different technologies work together through a hub, bridge, or cloud service
Product pages now include compatibility sections since manufacturers collaborate to make their devices work with other systems. Your original purchases should include products from
the same category (such as all Z-Wave devices) to match the base technology.
Look for energy monitoring features
Energy monitoring stands out as a valuable feature in smart home technology. Devices that track energy use show which appliances use the most electricity. This knowledge helps you make better decisions about your usage patterns.
Quality energy monitoring features should include:
Real-time consumption data in watts or kilowatt-hours
Historical tracking to spot usage patterns and trends
Cost monitoring that shows actual expenses
Alerts when usage goes above preset thresholds
Smart plugs like TP-Link Kasa and energy systems like Emporia provide complete monitoring that blends with your smart home setup. These features might cost more upfront but lead to savings through better energy management. Data from energy monitoring systems proves that small changes can reduce costs significantly.
Consider app usability and support
Apps shape how you use your smart devices. Many smart home apps have confusing interfaces, bugs, or too many ads. Research the device's app usability and support options before buying.
Key aspects to check:
Setup walkthrough quality: The best apps have clear, step-by-step guides that work reliably
Interface cleanliness: Choose apps with minimal clutter and user-friendly menus
Automation flexibility: Good apps make routine creation simple with suggested scenarios and clear instructions
Widget customization: Apps like Arlo's let you place various widgets on your home screen for quick access
Support throughout the device's life matters just as much. Apple sets the standard for device setup with clear power buttons and guides that work consistently. Notwithstanding that, make sure your chosen smart device offers resilient customer support beyond setup.
Hub applications like Samsung SmartThings provide excellent smart home management. They support hundreds of brands and thousands of device types. Home Assistant offers advanced automation for tech-savvy users without extra hub hardware.
Setting Up Your Smart Home Devices
Smart home devices need proper setup to work their best after purchase. Many users face the same problems during setup, but you can make your transition to smart living smooth by following some specific steps.
Connecting to Wi-Fi and downloading apps
The biggest problem with smart home device setup comes from Wi-Fi frequency. Your smart home gadgets will only connect to the 2.4 GHz band, not the 5 GHz band that your phone uses. Make sure your smartphone connects to your home's 2.4 GHz network before you start any setup.
Your router might combine both frequencies under one name. Here are some solutions:
Check your router's settings to create separate networks for 2.4 GHz and 5 GHz bands
Set up a guest network (these usually default to 2.4 GHz)
Move away from your router to force your phone onto the 2.4 GHz band, which reaches farther
You'll need specific apps to set up most smart bulbs, smart plugs, and other devices. These apps are free but must work with your smartphone. Apple HomeKit devices are different - you can set them up directly through the Home app.
Creating rooms and zones in the app
Device management becomes easier when you organize them into rooms and zones after connection. Rooms group devices by location, while zones let you control multiple rooms at once.
The Apple Home app makes room creation simple. Just tap the plus button, select "Add Room," name it, and pick a wallpaper. You can control multiple rooms at once with zones like "Downstairs" or "Upstairs." Select a room, go to room settings, and add it to a new or existing zone.
Google Home's process works similarly through app settings. This organization helps a lot as you add more smart plugs, smart light bulbs, and other devices. You can say commands like "Turn off the downstairs lights" to control an entire floor.
Testing device responsiveness
Test each device after setup to make sure everything works right. Slow responses or frequent disconnects have some common fixes:
Make sure your router and smart devices have the latest software updates. Old firmware can cause connection problems and security risks.
Restart your router and the device that's giving you trouble if problems continue. This refreshes network settings and solves many connection issues quickly.
Location matters for devices that still don't work well. Put your router in a central spot or think about a mesh network system for homes with weak Wi-Fi spots. Thick walls, especially stone or metal ones, can weaken signals.
A stable connection and good organization of your best home smart gadgets will give you a strong foundation. You can move on to more advanced automation in your smart home experience.
Automating Your Home for Daily Routines
Smart home gadgets show their true potential at the time they work together. Your next step after connecting these devices should focus on creating automatic actions. These actions will make everyday tasks simpler without needing your constant attention.
Using schedules and timers
Smart plugs and other devices can turn off automatically after a set period through timers. This basic automation works great especially when you have appliances like coffee makers or hair styling tools that you might forget to turn off.
Your smart device apps can handle more complex scheduling tasks:
Program lights to turn on at sunset and off at sunrise
Set thermostats to adjust temperatures based on your daily routine
Schedule smart power strips to cut phantom power during sleeping hours
You can adjust these timings to better suit your needs. The system lets you turn on lights 10 minutes before sunset or switch them off 30 minutes after sunrise.
Creating scenes and routines
A single command can trigger multiple device actions through scenes. Your "Movie Night" scene could dim the lights, lower the blinds, and turn on the TV all at once.
Routines take this concept further by linking multiple actions to specific events. The WiiThings bed sensors are a great way to get more from your morning routine. These sensors can trigger lights, start your coffee maker, and give you weather updates or calendar events. A "Goodnight" routine could secure your home by locking doors, turning off lights, and adjusting the thermostat with one command.
Smart routines can include conditional logic too. The system could detect open windows and turn off air conditioning to save energy.
Voice assistant integration tips
Voice assistants change how you control your automated home. Here's how to make the most of them:
Create custom voice commands that you'll remember but don't use in regular conversation
Amazon Echo can sync with your calendar to give verbal reminders about important appointments
Different household members can get personalized responses through voice recognition
Voice assistants can activate entire routines with simple phrases. Say "Hey Google, good morning" and watch as your tailored sequence adjusts temperature, lighting, and provides daily updates.
Automation removes tedious tasks from your daily life so you can focus on what matters most.
Saving Money with Smart Home Tech
"Smart appliances can reduce energy costs for a typical household by 2–9%" — IoT Now, Leading publication on Internet of Things technology
Smart home technology goes beyond mere convenience—it's a practical investment that cuts down utility bills. These devices can save you money through smart energy management and usage tracking, well past their purchase price.
Tracking energy usage with smart plugs
Smart plugs with energy monitoring features help you learn about your electricity usage. Models like the TP-Link Kasa Smart Wi-Fi Plug show immediate and past power consumption data that lets you spot power-hungry appliances. This clear picture helps you decide when to use specific devices.
Premium smart plugs can calculate costs based on your electricity rate. The TP-Link Tapo P110, priced under £10, lets you input your cost per kWh to see usage patterns daily, monthly, and yearly. This affordable device quickly shows which appliances drain your wallet silently.
Reducing lighting costs with smart bulbs
Smart light bulbs are among the most affordable smart home upgrades. Traditional incandescent bulbs turn just 5% of electricity into visible light, while LED smart bulbs are approximately 90% more energy-efficient. These bulbs last 15,000-25,000 hours—that's 10-20 years of normal home use.
You'll never waste power on forgotten lights with remote control features and long-lasting performance. Your lighting adjusts to actual usage through scheduled routines and automatic sensors instead of staying on needlessly.
Avoiding phantom power with smart power strips
Phantom power—the electricity devices use in standby mode—makes up 5-10% of household energy use and about 1% of global carbon dioxide emissions. The main culprits include:
Television sets (1.3-3 watts in standby)
Desktop computers (2.8-6.5 watts when off but plugged in)
Cable boxes (15-30 watts when idle)
Gaming consoles (10-15 watts in standby)
Smart power strips detect devices in standby mode and cut their power completely to stop this drain. A quality smart power strip (£15-40) pays for itself within months since the average home can save £79 yearly by eliminating standby power use.
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