Building energy consumption accounts for 30%–45% of the global energy demand. With an ever-increasing world population, it has now become essential to minimize the energy consumption for the future of the environment. One of the most crucial aspects in this regard is the utilization of sensing and environmental monitoring technologies in buildings as these technologies provide stakeholders, such as owners, designers, managers, and occupants, with important information regarding the energy performance, safety and cost-effectiveness of the building. With the global sensors market value predicted to exceed $190 billion by 2021 and the number of sensors deployed worldwide forecasted to reach the ‘1 Trillion’ mark by 2025, a state-of-the-art review of various commercially-viable sensor devices and the wide range of communication technologies that complement them is highly desirable. This paper provides an insight into various sensing and environmental monitoring technologies commonly deployed in buildings by surveying different sensor technologies, wired and wireless communication technologies, and the key selection parameters and strategies for optimal sensor placement. In addition, we review the key characteristics and limitations of the most prominent battery technologies in use today, different energy harvesting sources and commercial off-the-shelf solutions, and various challenges and future perspectives associated with the application of sensing and environmental monitoring technologies within buildings.