Home Alarm System Pricing

There are a lot of misconceptions with home alarm system pricing.  Are alarm systems free?  Should they be?  How much should I pay for alarm monitoring?  How do I compare home alarm system pricing?  These and many other questions have been asked over and over.  Home alarm pricing can be a tricky thing to figure out, so let Alarm System Report tear away the confusion and guide you on the path to finding the best price for your new home alarm system.

The first costs you should be thinking about with home alarm system pricing is the up-front cost of the alarm system.  You will likely see a number of offers ranging from $1000+ to “free”.  Ultimately you’ll want to end up somewhere in the middle.  An alarm system that is advertised as “free” normally has some other catch involved.  Some home alarm companies offer “free” alarms with a mail in rebate – meaning you actually PAY for the alarm up-front and half to mail in your rebate which is refunded some 3-6 weeks later.  Honestly, most people either forget or are too lazy to send in the rebate.  The alarm company banks on those who don’t mail in their rebates, while taking the chance on others.  Aside from rebates many alarm companies will boost your monthly rate during your contract to make up money they lost on the up-front sale.

A good alarm company is one that WILL have an up-front cost of some kind and will openly advertise their home alarm system pricing.  This may go against the principal of economics, that saving money is better than spending it.   However, when it comes to alarm systems, or anything for that matter, when something is “free” there is usually a catch or you end up spending the money later. Companies that have a small up-front cost usually value their product and service a lot more and don’t want you to simply sign the dotted line.  This also means the company can choose to keep their alarm monitoring costs the same throughout your time as a customer.

Speaking of home alarm monitoring costs, that brings us to our next alarm pricing topic.  After you determine the up-front cost of your new alarm system the next step is the monthly monitoring price.  In the earlier days of alarm systems companies simply had one service for one price.  These days the price of monitoring can differ based on which type of alarm monitoring you are offered or choose. The three main types of home alarm monitoring are:

Broadband alarm monitoring is fairly new on the scene but is often LESS reliable than a phone line.  We’ve all had those times where we couldn’t connect to the internet, “but the green light is flashing!’ you say, we know and have felt your pain.  Broadband monitoring is only as good as your internet connection.  Not only are you relying on your internet provider to provide reliable service but if a bad storm comes through and knocks out your power (also knocking out your internet connection) then your alarm no longer works.  Broadband monitoring usually ranges from $20-$50+ but is normally accompanied by a “backup” system like a phone line – which will also cost more.  Unless this is your only option for home alarm monitoring we suggest staying away from broadband.

Cellular alarm monitoring is definitely the newest addition to the home alarm system market and has taken the industry by storm. The main reason being that cellular monitoring is, by a wide margin, the most reliable type of alarm monitoring.  Cellular monitoring is accomplished by the alarm company installing a “cellular radio” or device in to the Control Panel of your alarm system.  This cellular device sends a wireless signal the monitoring center when you have an alarm.  This means no cut phone lines or internet connection interruptions.  Cellular stays connected all the time and rarely has service interruptions. The cellular signal from your alarm system is not nearly as volatile as the one on your cell phone as these devices send Data signals only, without the need for Voice signals like your cell phone has.  Cellular monitoring ranges in price from about $30-$60.

Lastly, some of the other things that can relate to home alarm pricing are remote access/interactive features, alarm permits and false alarm fees.  Remote access/interactive alarm features means you will have access to your alarm system and its settings from anywhere either by accessing a Mobile App on your smartphone or logging in online using your computer.  Remote access is usually offered as a bundled service with alarm monitoring.

An alarm permit is required in many areas around the country, mainly so the local police know who has an alarm and who doesn’t.  It makes it easier for the local authorities to respond to alarms and other emergencies knowing who in the community has an alarm system.  Most areas charge a one time fee for alarm permits around $20 while others charge a yearly fee of about $10-$15.  Although many areas around the country do require permits, there are many that don’t.  Your alarm company will be able to tell you whether or not you require a permit and will make sure you receive the proper application if needed.

As for false alarm fee these are future costs that may never apply to the homeowner.  With the newest methods of alarm verification by the monitoring center false alarms are down by a huge number and are not nearly as big a problem as they used to be, however, they do happen.  Local authorities will be able to tell you if any false alarm fees are applicable in your area.  Normally you are given about 2-3 false alarm per year before you will get charged and most alarm customers average about one false alarm per year.

These are the costs that would be associated with purchasing and owning a new home alarm system.  In the end a home alarm system is a great investment and many home insurance companies will provide a discount on your homeowners insurance by owning a monitored home alarm system.  So, not only could an alarm system save you from a burglary but it could end up saving you money over the long run.