diff --git a/homeassistant/components/sensor/filter.py b/homeassistant/components/sensor/filter.py
new file mode 100644
index 00000000000..f4887173513
--- /dev/null
+++ b/homeassistant/components/sensor/filter.py
@@ -0,0 +1,270 @@
+"""
+Allows the creation of a sensor that filters state property.
+
+For more details about this platform, please refer to the documentation at
+https://home-assistant.io/components/sensor.filter/
+"""
+import asyncio
+import logging
+import statistics
+from collections import deque
+
+import voluptuous as vol
+
+from homeassistant.util import slugify
+from homeassistant.core import callback
+from homeassistant.components.sensor import PLATFORM_SCHEMA
+from homeassistant.const import (
+    CONF_NAME, CONF_ENTITY_ID, ATTR_UNIT_OF_MEASUREMENT, ATTR_ENTITY_ID,
+    EVENT_HOMEASSISTANT_START)
+import homeassistant.helpers.config_validation as cv
+from homeassistant.helpers.entity import Entity
+from homeassistant.helpers.event import async_track_state_change
+
+_LOGGER = logging.getLogger(__name__)
+
+FILTER_NAME_LOWPASS = 'lowpass'
+FILTER_NAME_OUTLIER = 'outlier'
+
+CONF_FILTERS = 'filters'
+CONF_FILTER_NAME = 'filter'
+CONF_FILTER_WINDOW_SIZE = 'window_size'
+CONF_FILTER_PRECISION = 'precision'
+CONF_FILTER_RADIUS = 'radius'
+CONF_FILTER_TIME_CONSTANT = 'time_constant'
+
+NAME_TEMPLATE = "{} filter"
+ICON = 'mdi: chart-line-variant'
+
+FILTER_SCHEMA = vol.Schema({
+    vol.Optional(CONF_FILTER_WINDOW_SIZE): vol.Coerce(int),
+    vol.Optional(CONF_FILTER_PRECISION): vol.Coerce(int),
+})
+
+FILTER_OUTLIER_SCHEMA = FILTER_SCHEMA.extend({
+    vol.Required(CONF_FILTER_NAME): FILTER_NAME_OUTLIER,
+    vol.Optional(CONF_FILTER_RADIUS): vol.Coerce(float),
+})
+
+FILTER_LOWPASS_SCHEMA = FILTER_SCHEMA.extend({
+    vol.Required(CONF_FILTER_NAME): FILTER_NAME_LOWPASS,
+    vol.Optional(CONF_FILTER_TIME_CONSTANT): vol.Coerce(int),
+})
+
+PLATFORM_SCHEMA = PLATFORM_SCHEMA.extend({
+    vol.Required(ATTR_ENTITY_ID): cv.entity_id,
+    vol.Optional(CONF_NAME): cv.string,
+    vol.Optional(ATTR_UNIT_OF_MEASUREMENT): cv.string,
+    vol.Required(CONF_FILTERS): [vol.Any(FILTER_OUTLIER_SCHEMA,
+                                         FILTER_LOWPASS_SCHEMA)]
+})
+
+
+@asyncio.coroutine
+# pylint: disable=unused-argument
+def async_setup_platform(hass, config, async_add_devices, discovery_info=None):
+    """Set up the template sensors."""
+    sensors = []
+
+    name = config.get(CONF_NAME)
+    entity_id = config.get(CONF_ENTITY_ID)
+    filters = []
+
+    for _filter in config.get(CONF_FILTERS):
+        window_size = _filter.get(CONF_FILTER_WINDOW_SIZE)
+        precision = _filter.get(CONF_FILTER_PRECISION)
+
+        if _filter['filter'] == FILTER_NAME_OUTLIER:
+            radius = _filter.get(CONF_FILTER_RADIUS)
+            filters.append(OutlierFilter(window_size=window_size,
+                                         precision=precision,
+                                         radius=radius))
+        elif _filter['filter'] == FILTER_NAME_LOWPASS:
+            time_constant = _filter.get(CONF_FILTER_TIME_CONSTANT)
+            filters.append(LowPassFilter(window_size=window_size,
+                                         precision=precision,
+                                         time_constant=time_constant))
+
+    sensors.append(SensorFilter(hass, name, entity_id, filters))
+
+    async_add_devices(sensors)
+
+
+class SensorFilter(Entity):
+    """Representation of a Filter Sensor."""
+
+    filters = [FILTER_NAME_LOWPASS, FILTER_NAME_OUTLIER]
+
+    def __init__(self, hass, name, entity_id, filters):
+        """Initialize the sensor."""
+        self.hass = hass
+        self._name = name
+        self._entity = entity_id
+        self._unit_of_measurement = None
+        self._state = None
+        self._filters = filters
+
+    @asyncio.coroutine
+    def async_added_to_hass(self):
+        """Register callbacks."""
+        @callback
+        def filter_sensor_state_listener(entity, old_state, new_state):
+            """Handle device state changes."""
+            self._unit_of_measurement = new_state.attributes.get(
+                ATTR_UNIT_OF_MEASUREMENT)
+
+            self._state = new_state.state
+            for filt in self._filters:
+                filtered_state = filt.filter_state(self._state)
+                _LOGGER.debug("%s(%s) -> %s", filt.name, self._state,
+                              filtered_state)
+                self._state = filtered_state
+                filt.states.append(filtered_state)
+
+            self.async_schedule_update_ha_state(True)
+
+        @callback
+        def filter_sensor_startup(event):
+            """Update filter on startup."""
+            async_track_state_change(
+                self.hass, self._entity, filter_sensor_state_listener)
+
+            self.async_schedule_update_ha_state(True)
+
+        self.hass.bus.async_listen_once(
+            EVENT_HOMEASSISTANT_START, filter_sensor_startup)
+
+    @property
+    def name(self):
+        """Return the name of the sensor."""
+        return self._name
+
+    @property
+    def state(self):
+        """Return the state of the sensor."""
+        return self._state
+
+    @property
+    def icon(self):
+        """Return the icon to use in the frontend, if any."""
+        return ICON
+
+    @property
+    def unit_of_measurement(self):
+        """Return the unit_of_measurement of the device."""
+        return self._unit_of_measurement
+
+    @property
+    def should_poll(self):
+        """No polling needed."""
+        return False
+
+    @property
+    def device_state_attributes(self):
+        """Return the state attributes of the sensor."""
+        state_attr = {
+            ATTR_UNIT_OF_MEASUREMENT: self._unit_of_measurement,
+            ATTR_ENTITY_ID: self._entity
+        }
+        for filt in self._filters:
+            state_attr.update({
+                slugify("{} stats".format(filt.name)): filt.stats
+            })
+
+        return state_attr
+
+
+class Filter(object):
+    """Filter skeleton.
+
+    Args:
+        window_size (int): size of the sliding window that holds previous
+                                values
+    """
+
+    def __init__(self, name, window_size=1, precision=None):
+        """Initialize common properties."""
+        self.states = deque(maxlen=window_size)
+        self.precision = precision
+        self._stats = dict()
+        self._name = name
+
+    @property
+    def name(self):
+        """Return filter name."""
+        return self._name
+
+    @property
+    def stats(self):
+        """Return statistics of the filter."""
+        return self._stats
+
+    def _filter_state(self, new_state):
+        """Implement filter."""
+        raise NotImplementedError()
+
+    def filter_state(self, new_state):
+        """Implement a common interface for filters."""
+        filtered = self._filter_state(new_state)
+        if self.precision is None:
+            return filtered
+        return round(filtered, self.precision)
+
+
+class OutlierFilter(Filter):
+    """BASIC outlier filter.
+
+    Determines if new state is in a band around the median
+
+    Args:
+        radius (float): band radius
+        window_size (int): see Filter()
+    """
+
+    def __init__(self, window_size, precision, radius=2.0):
+        """Initialize Filter."""
+        super().__init__(FILTER_NAME_OUTLIER, window_size, precision)
+        self._radius = radius
+
+    def _filter_state(self, new_state):
+        """Implement the outlier filter."""
+        new_state = float(new_state)
+        if (len(self.states) > 1 and
+                abs(new_state - statistics.median(self.states))
+                > self._radius):
+
+            erasures = self._stats.get('erasures', 0)
+            self._stats['erasures'] = erasures+1
+
+            _LOGGER.warning("Outlier in %s: %s", self._name, new_state)
+            return self.states[-1]
+        return new_state
+
+
+class LowPassFilter(Filter):
+    """BASIC Low Pass Filter.
+
+    Args:
+        time_constant (int): time constant.
+        window_size (int): see Filter()
+    """
+
+    def __init__(self, window_size, precision, time_constant=10):
+        """Initialize Filter."""
+        super().__init__(FILTER_NAME_LOWPASS, window_size, precision)
+        self._time_constant = time_constant
+
+    def _filter_state(self, new_state):
+        """Implement the low pass filter."""
+        new_state = float(new_state)
+
+        try:
+            new_weight = 1.0 / self._time_constant
+            prev_weight = 1.0 - new_weight
+            filtered = prev_weight * self.states[-1] + new_weight * new_state
+        except IndexError:
+            # if we don't have enough states to run the filter
+            # just accept the new value
+            filtered = new_state
+
+        return filtered