The Internet of Things (IoT) is a key enabler of digital construction, providing the necessary connectivity, automation, and data insights to drive innovative construction and industrial transformation. The study aims to unmask challenges hindering the sustainable utilisation of the IoT in the building construction industry. Utilising a literature survey, seventeen challenges hindering the adoption of the IoT in Ghana’s building construction sector were identified. A quantitative technique was employed, and a questionnaire was used to validate the variables. A purposive sample was used to select respondents. Of the 200 respondents, 151, who were architects, engineers, project managers, quantity surveyors, and site supervisors, were included in the study. The study reveals that challenges hindering the utilisation of the Internet of Things in the building construction sector are grouped into three factors: Technical and Data Management Factors, Security and Privacy Factors, Economic, Resource and Performance Factors. Grounded in the discovery, the study recommended that policymakers, government agencies, and construction professional agencies should encourage investment in scalable and affordable IoT solutions that reduce the entry barrier and enable more companies to take advantage of the efficiency gains from these technologies. The study contributes to the knowledge of the challenges that hinder the adoption of IoT in the building construction industry.