Home Burglaries Spur Growth Industry

Americans are shelling out billions of dollars annually to thwart home burglaries, fueling a technological revolution and generating a boom in new business opportunities for an expanding list of companies.

Worried Americans seeking self-preservation spent $13 billion last year on home security systems.  Experts are forecasting a 9.3 percent annual growth rate in residential security expenditures, soaring to $17.4 billion this year.

The surge in spending mirrors the rising losses suffered by homeowners.  The Federal Bureau of Investigation (FBI) reported that Americans were hit with $15.5 billion in losses in 2012, the most recent year for which national crime statistics are available.

According to the FBI, there were 8,975,438 property crimes in 2012. The lion's share were residential burglaries, which accounted for 73.9 percent of the total.  In the time it has taken you to read to this point, two home burglaries have been reported to police somewhere in the U.S.

Although home invasions have declined sightly, the arrest rate for residential burglaries remains among the lowest of all property crimes. Statistics show that only 12.6 percent of burglaries are cleared by police, which helps explain the lure for criminals.

The average haul in a home heist is more than $2,120.  Typical items stolen include clothing, furs, luggage, jewelry, watches, keys, appliances and electronics.  To collect the loot, burglars spend an average of only eight to twelve minutes in a residence before making their getaway.

Most burglars strike in broad daylight.  Police reports show the thefts occur between 10 a.m. and 3 p.m., when most residents are not at home.  Although a few thieves enter the home through an unlocked door, most use some type of force to enter the dwelling.

This onslaught of brazen thievery has birthed a robust home security industry.  Traditional players such as ADT have the major market share, but new entrants such as AT&T, cable companies and even Direct TV are offering sophisticated security products to residents.

In addition to the standard alarms, these companies are selling advanced video surveillance systems featuring wireless cameras that can be manipulated remotely with a smartphone.  Using those same smartphones, homeowners can monitor their residences from the office or while on vacation.

Virtually all systems notify the system's monitoring firm, which dispatches police or fire department personnel in the event of a break-in or blaze.  Some will simultaneously deliver a text and email alert to your smartphone.

Additional gadgets include devices that alert consumers if there is a water leak in the residence or in the event someone disarms your system.  With the latter feature, consumers may provide unique entry codes to maids or others who need access to the residence.     

Cable companies and telecommunications firms are expanding the variety of security products to include home automation services, which allow customers to tap their broadband systems to control lights, appliances, televisions and thermostats remotely.

Price is emerging as a key competitive battlefield for the providers as companies bundle services to offer bargains to consumers. Home security monitoring costs range from $30 to $60 per month, depending on the complexity of the systems.  Cameras, video recorders and other devices cost extra.

But consumers are finding the added peace of mind is worth the expenditures.  Although no dwelling is completely safe.  Even the White House was the scene of an attempted break-in.

If you recall, last year a delusional driver dared to try to crash her car through the gates of the impenetrable White House.  Although she failed, if armed security didn't deter her attempt, then every American's residence is no less safe from intrusion.