My Kids Want A Pool. Will It Add Any Value to the Home?
After much research, I’ve discovered that a house with a pool doesn’t usually recover the investment as much as I had hoped. In fact, it seems that’s one of the worst investments if planning to sell within the next 5 – 10 years. The cost of installing an in-ground pool and all that’s needed for same can be upwards of $100,000 or more. You won’t recover close to that in resale value. If you plan to stay 15 – 20 years, you’ll need to resurface and that’s expensive also.
Does it make sense to buy a home with a pool already installed, keeping in mind that you’ll want to resell it at some point in the future? Well, that’s a yes or a no. Not very decisive, I know. Some realtors will tell you that a pool will add value and some realtors will tell you that it will not. The only way to know is to check out the location and what is selling in that area. Talk with an appraiser. In warm areas, such as the Upper Class areas of Los Angeles and Florida where you see homes with pools, perhaps a similar home with a pool is a good investment. They are quite expensive so check your bank account first! If you see neighborhoods with no pools, there’s usually a reason. I’d venture to guess that the cost of upkeep is one of the primary reasons. Buyers know the pool has lots of expenses and don’t want to pay more for the house. It can even be a turn-off in those neighborhoods.
The homes with pools usually sell best to older childless couples with higher incomes, middle aged parents with teenagers, health and fitness enthusiasts may enjoy a pool, and others with the finances to do all the upkeep year-round. Most families with young children under 10 or 12 years old don’t usually want pools as they see them as a hazard and don’t want to maintain the pool.
Above-ground pools are seldom popular as some consider them to be unattractive and they still have many maintenance costs. If you only have the budget for an above-ground pool, you may want to skip it altogether unless you plan on having a very large custom deck done to make it look like a faux in-ground pool of sorts or even an indoor pool. Add luxury or leave it out.
Buying a house with a pool, knowing you plan to sell in the future is a tricky question if you want to recover expenses. Houselogic, Trulia, Realtor.com, and many other groups, all seem to agree that pools seldom add to the resale value of your home. Remember, even if you didn’t go to the expense of building it yourself, you still have to maintain it the entire time you live there. It’s about $1,000 – $2,000 per year in maintenance, pump, chemicals, electricity, gas, lighting, etc. — presuming nothing goes wrong. It will also raise your insurance rates yearly, and property tax in some areas.
When selling your home, some buyers will like the idea of a pool and some will hate the idea. That narrows the group of prospective bidders. It might sell quickly if you’re lucky enough to find someone that wants that amenity so keep it clean and in good repair. If not, be patient, as it may very possibly stay on the market a little longer. Don’t expect your selling price to go a lot higher as a result. The right buyer will come soon enough!
The bottom line is that you should have a pool only if it’s something that your family will truly enjoy and be sure to get full benefit while living there. I wouldn’t invest in adding one but if it’s already there why not invite some friends and swim/have fun. You’ll be maintaining it anyway so why not!