When people are looking to buy a new home alarm system for their property, they get different types of quotes with different contracts from a number of installers. Some companies are offering alarm systems on a lease, while some are selling them outright without any contracts. It can be overwhelming and difficult for some of us to decide which one is better.

With several companies offering alarm systems, you need to have a detailed analysis of what kind of contract each one of them is offering. Besides, you must also know the details of these contracts, their benefits, and which one would be best suited to your requirements.


Here we’re helping you with different aspects of both the contracts.


Leased Alarm
Owned Alarm

With a leased alarm, you do not have full ownership of the system.

When you buy an alarm, you get full ownership of the system.


You are in a lock-in contract and cannot break it midway. In case you choose to move out of the agreement, you will have to pay a cancellation fee.

There is no contract when you are buying an alarm system. However, you can opt-in for a maintenance plan, and you can exit at any time.


You can’t change your service provider until you pay a cancellation fee to move out of the agreement. Moreover, you won’t be allowed to use the equipment as well.

You can switch to a different service provider anytime as you are not in a contract. A new company can take over the service of your existing alarm anytime.


Cumulative lease payments and buyout options are always expensive.

The overall upfront cost is always lower than the cumulative lease payments.


Upgrading your alarm system is not possible as you don’t have the ownership. It is in your service provider’s interest to let you use the old system so that they can get recurring monthly revenue.

You can upgrade your system anytime. You can add additional devices to your existing system as well in consultation with your service provider.


It includes a low upfront cost and an ongoing monthly cost that is paid over your fixed contract period.

It includes a one- time cost for the equipment and an optional monthly ongoing low cost for the maintenance and monitoring services.


You will have to pay the entire cost over your agreed fixed-term contract period.

You only pay for the system at the time of installation. FHA offers 0% finance over 12 months period to spread out your cost, regulated by Finance Conduct Authority.


At the end of the contract, the service provider will charge you a fee for removing the equipment if you decide not to renew the contract.

The system will be yours for life, and you can use it the way you want.

Comparison of home alarm systems offered by different security providers

Average cost over 10 years


£ 3500 – £4500


£4500- £5500


£1889 – £2699


Annual service




Extended warranty

Additional charges may apply

Additional charges may apply


Insurance Approved


Only monitoring is approved, equipment is not.




Own brand

Visonic alarms, Risco alarms, Yale alarms and other prominent brands

External Siren

Dummy box

Not included


Internal Siren




Ownership of the equipment



You own the system from the start

Contract period



No fixed contract for services and extended warranty. You can cancel anytime without any cancellation fees.

Average contract period

18 – 36 months

18 – 36 months

No fixed-term contracts. Extended warranty for 10 years with all-inclusive maintenance plans.

Contract cancellation policy

Some or all of the features will stop working

Some or all of the features will stop working

You can continue to use the system as usual. No functions will be disabled; however, some systems may need third party subscriptions for monitoring or cloud services- they might terminate the services if you do not pay.


We hope this article helps you to get details about each type of alarm contracts that helps you make a wise decision about your home alarm purchase. 

If you have any queries related to home security systems, feel free to speak to our experts. 

We are an award-winning security company that works with wireless burglar alarms from leading manufacturers such as Visonic, Risco, and Yale.