Elderly population across the world is on the rise and municipalities along with caregivers are struggling to provide care due to limited resources. Sweden’s elderly population is set to grow significantly by 2050 where the number of people between 65–79 years and 80 years and over is expected to increase by 45% and 87% respectively. The same trend continues within Europe where 25% of the population will be over 65 years of age by the year 2020, and the age group of 65–80 years is predicted to rise by 40% from the year 2010 to 2030. The rise in elderly population has increased the stress on municipalities and caregivers; and has created the need for new healthcare solutions that are feasible, affordable and easily accessible to all. Smart homes equipped with sensors have already made life easier for those living in them for many decades now by providing home automation solutions. We are also witnessing an increase in the use of Information Communication Technologies (ICT) to assist elderly population and decrease in operational costs. ICT systems in assisting elderly population have an immense potential for providing in-home care to the elderly. The advent of the Internet of Things (IoT) with low-cost and prolific sensors has furthered this trend of home automation and monitoring solutions being used for elderly healthcare. Alongside, the field of ambient assisted homes has continuously paved the way for providing an improved quality of life for those in need such as patients with dementia or chronic conditions as well as elderly living alone at home.