Pool Party Or Bad Investment?
We LOVE pools. With that said, have you ever asked yourself, “How will a pool affect my home’s appraisal value?” Some factors include:
- The climate of area to be appraised
- How many other neighborhood homes have pools
- The pool’s design and size (this has a twist)
Before we get into the above three factors, it should be noted, in an area with a decent climate, a 14×28 in-ground pool typically adds approx. 5-8% to a property’s appraisal value.
Also, appraisers typically add 5k appraised value to a home with a basic in-ground spa or jacuzzi (located in an area with an average climate).
Splash Or Cash?
Because we specialize in luxury properties in Greater Phoenix, and we believe they’re the most important overall, we chose to focus on the three earlier-mentioned factors.
- The Climate
A pool in Detroit is more of a burden than a luxury (some buyers fill them). A pool in Arizona? Different ball game. However, in most cases, you’re still not likely to get all your money back.
- The Neighborhood
Communities that have lots of homes with pools seem to retain values over others neighborhoods. In this situation, neighbors POOL together to increase value. 🙂
- Design & Size
Think of this like a $10,000 car with $5,000 rims. In a community where $40k pools are common? Build some crazy $100,000 party pool? Plan to live there a long time. We’ve see homes with $120,000 pools appraise for just $15-$30k over COMPS with normal pools.
The bottom line is, if you build a swimming pool, do it for your own enjoyment. If it adds some value or sets your property apart? All the better.
Ok now we’re off for a September Arizona swim!