Is a Pool Good or Bad for Your Property Value?
Is a Pool a Good or Bad for Your Property Value?
Summer is approaching and many dream of cool crisp waters just steps from the backdoor to take us away from the hot, humid summer Indiana afternoons. No doubt pools provide endless enjoyment to homeowners, but they are a significant investment, so it’s wise to analyze if that investment is something that adds or detracts value from your home over time.
Let’s start with what a pool costs. The initial investment is around $30,000 to $40,000 for a 600-square-foot in-ground concrete pool. Houzz.com estimates the average price for a pool in the Indianapolis area is $43,856. Obviously more elaborate designs and sizes increase that average. Maintenance costs will vary depending on if you do the work yourself or hire a professional. Houselogic.com recommends you hire a pool maintenance professional to open and close the pool for the season. That will run around $500 per visit. The pump will add to utility costs. Ask your local utility provider for an estimate. Chemicals run about $600 during the swimming season. Insurance costs should be considered as well. Your policy may already cover the liability of a pool and rate increases for inclusion are very nominal, but check with your insurance provider first.
Recouping the cost of a pool depends on where you live, both in area of the country and neighborhood. National experts offer a few rules of thumb if you want to increase your chances for recouping or adding value. You have a good chance if:
1. You live in a higher-end neighborhood where most of your neighbors have pools.
2. You live in a warmer climate like Florida, Arizona or Hawaii where you can enjoy a pool year-round.
3. The pool doesn’t take up your entire yard—there’s still room for a swing set and a garden.
4. The style of the pool fits with your home and neighborhood, and it’s well maintained.
5. You can attract a buyer who wants a pool in their new home.
Obviously the Indy-metro area doesn’t meet criteria #2. However REALTORS® point out that if homeowners adhere to these other guidelines, while a pool may not recoup its full value it can be a selling point that gives your property an added edge over the competition. Bottom line, if you can afford the upfront and ongoing costs, install a pool for your enjoyment not as an investment. When it comes time to sell, rely on your REALTOR® to attract that right buyer who seeks the enjoyment of a pool just like you.
Sources: daveramsey.com, houselogic.om, houzz.com