If you want to move into this space you need to realize something. To use a car analogy, not everyone wants to buy a Cadillac. The problem with most of the comments I see above is that many of the integrators want to sell the Cadillac of surveillance systems to homeowners even when they don't want it or can afford it. This doesn't mean you have to install crappy equipment, just have to find a way to reduce costs and make an option that's more affordable.
Here's what we do. We almost exclusively install Spectrum no matter if it's a business with 100 cameras or a home with 2, most of the time they're getting Spectrum. So how do we make Spectrum affordable? If we were to go to ADI and buy a BJ-Cube-LX with a 2TB HDD, 8 DW cameras, POE Switch, Licenses, Cable, Connectors, Conduit, then pay for the labor to install everything, sales commissions and make enough money to justify support our COGS is going to be higher than what the residential customer wants to pay.
Rather than doing that, I've found a way to get Spectrum into peoples homes keeping our cost of hardware and software below the price of a BJ-Cube-LX. It took me over a year to figure out a good reliable solution but it works. End of the day, with everything our cost for hardware/software is not much higher than the DIY kits we see in the big box stores.
At that point, all we have to do is sell them on the professional installation. Frankly, this isn't that hard. Because we're for the most part standardized on Spectrum our technical support staff can help anyone easily. We load TeamViewer on all of these small servers we build so we can fix most issues that arise remotely in just a minute or two. With the new cloud connection in Spectrum, we're not screwing around with routers either and our customers almost never loose connection to their cameras.
IMO residential is a great supplement for large commercial projects. I'll take 10 residential customers over one commercial account of equal installation value any day. For me it's all about RMR, RMR keeps us going when times are tuff.
How do you get RMR out of customers? You just need to explain to them what makes your technical support staff different from Costco's. At Costco, they'll take anything back. While that's great and all it doesn't solve the problem they're having with their system. RMR is what fuels your technical support team and is what fuels you to develop better products for the customer. Combing a video surveillance system with a professionally monitored security system makes this sale easy. Police are slowly not responding to alarm calls, however, if central station verifies an active break-in when the intrusion alarm goes off the police will respond much faster.
Just my opinion. I've had great success in both commercial and residential. Residential takes real creativity, it's been a fun challenge for me to get a real VMS into homes. Now that's we've done it. Our customers love it.