Should I Lease or Purchase my Home Security System?
Are FREE Alarm Systems really FREE?
You’ve probably seen the “Free Alarm System” promotion, which proclaims how you can get a FREE residential alarm system, valued at $950.00. All you have to do is pay a $99 installation fee and sign a 36 month monitoring contract for $36.99 per month. Sometimes, if the company is really desperate, they’ll even waive the installation fee. Great deal, right?
The truth is, as your grandmother probably told you, nothing is free. If you go the “Free Alarm System” route, you’ll soon find that there’s lots of hidden fees, such as an additional $150+ installation charge for cellular communication, as well as $15 more each month just for a phone app. These should be standard.
Yes, price is important and free sounds good, but, in the long run it’s too good to be true. Let’s do the math = $36.99 per month + $15.00 per month = $51.99 per month with a minimum contact term of 36 months (so that’s $51.99 per month X 36 months = $1,871.64 total monthly monitoring + $99.00 installation charge + $150.00 cellular add on = $2,120.64
When you are comparing different alarm system options, here’s a helpful list of the key things to look for:
- What kind of warranty comes with the system?
- Is the security alarm company a member of the BBB and if so, what is their rating?
- How long has the company been in business?
- Do I get personal service from my representative? Are they selling me the latest technology and are they just telling me what I want to hear?
Once you’ve looked at different companies and found a few that may work for your needs, it’s time to consider whether you should lease or purchase the alarm system.
When it comes to leasing plans, all companies are not equal. Don’t sign a lease from any security alarm monitoring company without a warranty for at least the full contract term. The last thing you want is to sign a long-term lease and then have the system break, leaving you either stuck paying $$$ to fix it or with a system you can’t use and a monitoring/lease payment you don’t want.
While no one would want the above scenario, some leased systems can be a great deal, especially because of how technology continuously improves. Perhaps you’ve experienced this already, like how a 32” TV two years ago was the same price as a 55” TV today that has a better quality picture. The same goes for security systems monitoring and interactive technology.
Whether you want to lease or buy, PASS Security gives you the flexibility to choose the option that works best for you. Let’s look at an example of a PASS leased security system. The basic security system, which has a lifetime warranty, will cost you about $149.00, plus a monthly monitoring/lease payment of $38.00 per month. It comes standard with cellular communication and the phone app – there’s no hidden fees. If you want, there are additional protection points you can add, which will raise the overall price.
Let’s do the math – $38.00 per month for 36 months, plus the $149.00 installation charge equals $1,517.00. Another company offering the “Free Alarm System” promotion could charge you $249.00 with the installation and hidden fees, plus $51.99 per month for the monitoring. That totals about $2,120.64 over three years, and without a lifetime warranty! Not the greatest deal when you look at the “Free Security System” in that way.
Curious about what happens if you sell your house? There are usually three options:
- Transfer the monitoring to the new homeowner
- Transfer the monitoring to your new home
- Pay a buyout fee
The good things about leasing a security system include a low upfront cost and a lifetime warranty (with select companies). The downside is that if you decide to disconnect your home security monitoring service, most companies will want to come pick up the equipment.
Interested in purchasing a home security system? At PASS, the same $149 system mentioned above will cost you about $599, but the monitoring is less expensive at $29 per month. Just like with the leasing plan, a purchased system also comes with cellular communication and the phone app packaged in, so there are no hidden fees. Of course, the price goes up if you decide to include additional protection points.
Let’s do the math – $29 per month for 36 months, plus the $599 installation charge equals $1,699. This is still less expensive than that so called “free” system! With another company, you could pay $249 for the install and $51.99 per month for the monitoring, totaling $2,120.64 and with no lifetime warranty.
The good things about purchasing a security system include a 1 year warranty (with select companies) and lower monthly monitoring. Also, if you cancel your service the equipment stays. Be careful, though – some companies will scam you by installing a proprietary alarm system that can’t be used on other platforms. The downside to purchasing a security system is that if the system breaks after the warranty expires, you’re responsible for repairing it.
Security System Options:
- Other Security Company’s Lease = Limited Warranty and you end up paying $2,120.64 over the 36 month contract.
- PASS Security System Lease = Lifetime Warranty and you end up paying $1,517.00 over a 36 month contract.
- PASS Security System Lease = Lifetime Warranty and you end up paying $1,699.00 over a 36 month contract.
Hope this provides a helpful overview as to how to find a good security alarm monitoring company, as well as the pros and cons about leasing versus purchasing an alarm system.
Contact us today if you would like more information about video security cameras for police departments and municipalities or receive a FREE consultation from a PASS Security expert. 314-241-0422 or 618-394-1144 or Email us.
Founded in 1969, PASS Security is a full-service electronic security systems integrator providing expertise in intrusion detection, video surveillance, access control systems, LIVE video monitoring for businesses, commercial and enterprise operations. PASS also serves the residential sector with innovative SMART products and services. We provide our customers with system design, engineering, installation, maintenance and monitoring services through our 24/7 local UL Listed Central Monitoring Station.