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How much value does a new pool add (as a percent of cost)?

Posted on 2/20/16 at 2:08 pm
Posted by Bayou Tiger
Member since Nov 2003
3657 posts
Posted on 2/20/16 at 2:08 pm
We will be building an outdoor pool, spa, and kitchen setup for this summer. This is a house we plan to live in for a long time and maybe forever, so we are not looking to sell it anytime soon.

However, for personal finance and net worth accounting, how much value will this pool add to the house? Obviously not 100% of what we spend, but is it around 50%, 75%, or some other rule of thumb?
This post was edited on 2/20/16 at 2:08 pm
Posted by Tigerpaw123
Louisiana
Member since Mar 2007
17252 posts
Posted on 2/20/16 at 2:33 pm to
I have always heard a pool neither adds nor reduces value of a house???
This post was edited on 2/20/16 at 8:40 pm
Posted by VABuckeye
Naples, FL
Member since Dec 2007
35473 posts
Posted on 2/20/16 at 3:10 pm to
It adds the value of use. It may attract some buyers and other buyers may dismiss your property because it has a pool.

Adding a pool is nothing like updating kitchens or bathrooms or adding square footage.
Posted by SECdragonmaster
Order of the Dragons
Member since Dec 2013
16169 posts
Posted on 2/20/16 at 3:40 pm to
Depends on many factors including location of the country. However, remember that many people won't even come look at the house of it has a pool.

I spend $75,000 on a complete landscaping tiered rock wall with additional parking, sod, fencing, and a dozen 10 foot tall evergreen trees for privacy in 2010.

The appraiser said it added ZERO to his calculations of value based on the appraisal limits (the bank that hired him) put on him.
Posted by barry
Location, Location, Location
Member since Aug 2006
50337 posts
Posted on 2/20/16 at 5:03 pm to
it depends on the relative cost of the pool to your house. Id be surprised if you could get more than a 10-15% premium on the value of your house by adding a pool.
Posted by foshizzle
Washington DC metro
Member since Mar 2008
40599 posts
Posted on 2/20/16 at 6:19 pm to
Completely depends on whether a prospective buyer wants to have a pool.

Personally, I don't want one and would not offer on a property that had one. Someone that does want a pool probably would value it depending on how well it matches what he'd like in a pool. If you have a "standard" pool and he wants one with a rock garden and statues peeing water everyone, it still may not help that much.
Posted by tigerbacon
Arkansas
Member since Aug 2010
3694 posts
Posted on 2/20/16 at 6:45 pm to
Depends on the city and state. In Arizona you get 100% back when you sell. In Louisiana you get 0% percent back and actually limit the number of buyers
Posted by gobuxgo5
Member since Nov 2012
10024 posts
Posted on 2/20/16 at 8:13 pm to
My parents have a pool and they just sold their home. It did not increase the value and the realtor said it lowered the amount of people who'd be interested in it. I wouldn't have guessed that.
Posted by Bayou Tiger
Member since Nov 2003
3657 posts
Posted on 2/20/16 at 9:24 pm to
Thanks everyone for the feedback. I can only hope that the appraisal district feels the same way about my property value staying the same, since Texas property tax is high enough already.
Posted by kywildcatfanone
Wildcat Country!
Member since Oct 2012
118893 posts
Posted on 2/20/16 at 9:49 pm to
It won't add a dime in value. Might make it harder to sell the house later.
Posted by yellowfin
Coastal Bar
Member since May 2006
97614 posts
Posted on 2/20/16 at 9:50 pm to
Always heard it added nothing or reduced value
Posted by nolatiger711
Metairie, LA
Member since Oct 2009
767 posts
Posted on 2/21/16 at 12:10 am to
I just want to distinguish value for selling and the appraisal. I see limiting the number of buyers and zeroes out value because of extra costs. However, an appraiser adds value because he doesn't have to keep in mind the upkeep costs of a pool.
Posted by Upperdecker
St. George, LA
Member since Nov 2014
30542 posts
Posted on 2/21/16 at 8:05 am to
An appraiser considers the market value of the house. If a pool is not marketable, it doesn't add value to the house. In a place where pools are not appreciated, a pool is not marketable
Posted by achenator
Member since Oct 2014
2944 posts
Posted on 2/21/16 at 12:19 pm to
I would say above a certain price point I expect it. When my wife and I were shopping 4 years ago we were looking at like 550-750k and most of the homes that didn't have pools seemed to be shot down more quickly. We figured that if we were going to spend that much we wanted it DONE. Pool, landscaping, sprinklers all of that stuff we knew would cost $$$ because we knew we wanted it. One of the reasons why we didn't build also.
Posted by TheHiddenFlask
The Welsh red light district
Member since Jul 2008
18384 posts
Posted on 2/21/16 at 12:32 pm to
Rectangular holes in the ground usually add nothing or detract from the value.

High end pools can add a lot of value to a high end house.

You're probably never going to get much back in a middle or upper middle class house.
Posted by DieSmilen
My Rubbermaid Desk
Member since Dec 2007
1726 posts
Posted on 2/21/16 at 12:36 pm to
My guess is you will get between $1500 and $4000 credit for it on an appraisal,well at least in most of Louisiana. I saw a homeowner get upset when he spent over $15,000 on a pool and only got $3500 credit on his appraisal. Home owner was like i spent $6000 on the tile that went around the pool. At the end of the day personal touches are just that and the in the appraisers opinion its not worth what you spent on it.
This post was edited on 2/21/16 at 12:39 pm
Posted by theoldwiseone33
University of Louisiana
Member since May 2012
492 posts
Posted on 2/21/16 at 8:44 pm to
A good rule of thumb is 15% of the cost of the pool
Posted by Serraneaux
South of 30a
Member since Mar 2014
19600 posts
Posted on 2/21/16 at 9:12 pm to
It definitely adds "value" when appraised for a HELOC. Put in a pool because you want it and will get a ton of use out of it, not for any other reason.
Posted by tigerrocket
Member since Aug 2008
162 posts
Posted on 2/22/16 at 9:04 am to
If you live in a waterfront/boating subdivision where every house has a pool, you better have one too, if you want your house to sell at the same price as your neighbors.
Posted by LSU6262
Member since Jun 2008
7489 posts
Posted on 2/22/16 at 10:06 am to
I was always told it adds no value but could improve or reduce sellability depending on the market
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