World Elderly population is rising day by day, which increases demand for healthcare and number of caregivers. Ambient assisted livings is an emerging field(AAL) aimed at making Elderly and physically challenged people's life selfsufficient, safe and independent. Due to progresses in technology our surroundings are being automated. These may include homes, hospitals, factories and transportation. Ambient Assisted Environments for elder people monitor their daily activities to detect any abnormal or abrupt behavior. Any anomaly detected can be then sent to the concerned person who can be physician or family member of the elderly. As Ambient is a diverse field having a lot of technologies and application areas. Activity monitoring can be specified to a certain specific activity e.g. Fall detection and monitoring Vital Signs. This paper specifically focuses on smart home projects of Ambient Assisted Livings for elderly people monitoring overall daily activities. Out of two Ambient Technologies aspects providing support for indoor and outdoor activities of aged people this paper is focused on indoor smart environments. The prime objective of this paper is to analyze different researches being done in Ambient Assisted Livings (AAL) used for home automation or building smart homes. A comparative study of various AAL environments is followed by a discussion on issues linked with AAL. Along with the analysis of issues and challenges associated with these, a roadmap is also provided for the researchers for knowledge acquisition bout AAL systems.