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What do you guys think of the idea of smart homes? I could make a basic setup using https://home-assistant.io to control my home temperature and lighting; the tools for doing this are everywhere nowadays and implementation doesn't seem too horrific anymore.
But setting aside what I "can" do, is this something that I "should" do? How can a person implement this without connecting any devices to the internet?
You can connect devices locally now. Eg. Zigbee/Z-wave network protocol without the need to use the internet. I know some builders started to implement smart devices for Apartments in the city which is easy to set the standards but for individual homes, would be harder to sell as it's costly..
Your neighbors are a security threat too, not just Internet criminals.