Monitored Home Alarm Security Systems:

How To Get One For (Almost) Free

By Ara Rubyan

Today, it is possible to get a top-quality home security system for free -- if you know how to play the game. The key is in finding the largest home security firm in your area that has their own monitoring capability. These top-performing, #1-installing firms will want to get their long-term revenue from the ongoing monitoring of your home and not from the equipment and installation. This is your opportunity to get a free system.

Here's how it works.

The major security companies cover their costs -- and make most of their money --from large commercial customers. And once they have this monitoring infrastructure in place, the cost of adding new residential customers is very low -- and very profitable. As a result, they are able to provide the hardware and installation labor at nearly cost -- or even lower. They know that the profit is in the long-term monitoring revenues they can make from you.

To reach the residential customer -- you -- these monitoring companies will market their services through a network of independently owned and operated authorized dealers. These dealers, who have to maintain a high standard of quality to remain in the network, do most (if not all) of their work solely for the monitoring company. In addition, they buy all their equipment from the company -- getting a pretty good volume discount. The monitoring company, of course, makes a profit on this too.

So here's how you can benefit from the way these companies do business.

Find the authorized dealer who does the most installations in your area. Look in the Yellow Pages, go online, and/or contact the local Chamber of Commerce.

Be direct and upfront: ask if there is a best case scenario where you can get the materials and labor for a low price -- or free -- if you agree to a multi-year monitoring contract with them. By the way, it helps if you have good credit -- and can prove it.

Clearly, the smaller companies will not do this. The mom and pop operations work on tighter margins and sell a lower volume of installations. But the bigger dealers can afford to cut their margins when selling to you because they make it up in volume. And because the corporation, who will be getting your multi-year monitoring contract, also have an incentive to subsidize a low-cost system in your home. It's like getting a free razor -- the manufacturer knows you'll be buying their razor-blades for a long, long time.

It's a win-win-win situation.

• You get a free or nearly free installation

• The authorized dealer makes a profit on the materials and the labor

• The monitoring company gets a long-term customer and the opportunity to market their services to other prospects in your area and in your circle of friends.

A couple of additional thoughts:This works best with the dealers who do the most number of installations in your area -- not necessarily the mom-and-pop operations.

Also, you will be required to stay with the monitoring company for an agreed-upon minimum period of time -- say, a couple of years. Of course, the monitoring company is hoping you'll stay with them indefinitely -- if for no other reason than simple inertia. But they'll start with a fixed term.

Oh and did I mention that the monitoring company gets to put a nice big sign in your yard and window decals all your windows? That's a win-win too because studies have shown that the signs and decals -- just by themselves -- will cut the likelihood of a break-in by a substantial fraction.

Conclusion

So, if you're in the market for a monitored home security system, look for the best performing authorized dealer in your area and then play the game to your advantage.

Additional Reading
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