Backyard Pools: Do They Add Tremendous Value To a House?

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backyard pool with a pergola and nice patio chairs to relax in which adds value as an entertainment space to the home


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When you are looking to add a pool to your lot you may have a great many questions about what it adds to the value of your property.

Typically this is then followed by whether or not a pool is a wise investment into your home over other additions you can complete so does a pool add value to your house?

Adding a swimming pool won’t increase the value of your home beyond the cost of the pool itself. This is due to swimming pools coming in many shapes and sizes. These differences plus in-ground or above-ground are worth more to some buyers than others.

Now let’s dive into other valuation issues which a pool can add to you and your home costs.

When you look at the costs you also need to understand the related changes which could come from taxes and insurance.

backyard pool with a pergola and nice patio chairs to relax in which adds value as an entertainment space to the home

What is the Average Cost to Install a Pool?

While researching a pool I looked around to understand the basic costs that an inground pool will cost potential buyers to have built.

When installing an in-ground pool, the average cost appears to be between $30,000 and $60,000.

This cost is broken down into the following per type:

Concrete Pool Average Cost$40,000
Vinyl Pool Average Cost$30,000
Fiberglass Pool Average Cost $28,250
Gunite Pool Average Cost$50,000+
Average Pool Costs to Build

Costs Involved in Maintaining a Pool

There are loads of embedded costs to maintaining a pool as a pool owner, whether you perform basic pool maintenance yourself or you pay a pool service these ongoing costs take time and money each month.

Then you have many pool equipment to think about as to servicing like the pool heater, water features, motors, and the pool deck itself which needs cleaning through pressure washing or painting.

How Much Does a Pool Increase Home Value?

There is no hard-set value that having a pool installed will add to your home, this is due to the appraisals from the area by your real estate agent for prospective buyers.

The best way to know how much of an increase the pool has on your home value is to have an appraisal done before the pool installation, and then another appraisal is done afterward.

These appraisals are an evaluation of your property against those within your local area, this is why getting one done prior is important and why they may be more valuable in a higher-end neighborhood.

When the second one is done it will be against comparable homes with pools in your local area, this is why it is so variable and not set in stone.

4 Ways That a Pool Can Increase Home Value

  • Quality Styling– The style of the pool and does it fit your neighborhood?
  • Conditioning and Overall Shape– How well you maintain the pool and the hardware like pumps.
  • Age of the Pool– If you install a pool today and sell it in 20 years don’t expect to recover costs.
  • Correct Buyer– You need to attract the right buyer. A couple looking to buy with young children may shy away from pools because of safety issues.

Does an Above Ground Pool Add Value to Your Home?

An interesting note is that an above-ground pool is likely going to consistently lower a home’s value when you are trying to sell as many believe them to be visually unappealing.

Additionally, many purchasers may actually ask for the complete removal of the above-ground pool when the purchase is finalized to cut down on issues they can cause.

While an above-ground pool can give you that swimming chance and opportunity for a much cheaper price, they don’t end well if and when you choose to sell your home.

While cheaper, an above-ground pool will negatively impact the home’s aesthetics when compared to neighboring homes.

These pools tend to stick out to many homeowners and when set up they are usually placed in the center of their backyard.

This placement causes long-term damage to the layer of grass and vegetation which fail to grow in the spot below.

If looking to add long-term value to your property then an in-ground pool is the only way to go that has the chance and opportunity to provide the value you are looking for.

Is a Pool A Good Investment?

When you are choosing to add a pool to your house it can be a tremendously high-quality lifestyle addition to your backyard.

They provide a place to entertain and improve your quality of life along with a place to relax from the heat of the day.

However, in the overall scheme of things, there is a large debate over the actual return on your investment when you build a pool.

Typically the cost and what you get when selling will be even or possibly at a loss, so for example, if you build a $30,000 pool in most cases you will be able to sell the house for $30,000 more.

Another example is if your home is valued at $200,000 without a pool and then at $235,000 with a pool, you may think you have profit.

What happens though if the pool cost you $65,000 to install? This would mean that the installation of that pool will not add value to your home and actually cost you money.

Though this isn’t always the case, sometimes you can end up losing money if the area isn’t right or demand for a pool is low in your area.

As investments go it will often not return you more than you pay into getting it built, so for this case, I wouldn’t consider a pool an “investment”.

Does a Pool Increase Property Tax?

No matter where you live your property taxes will change with the addition of a pool, the amounts will vary depending on the state and counties.

When any addition or improvement is performed on the property you will need to have an assessment done.

While researching this to understand better the assessors will figure out your property value based on other real estate comps from your surrounding area.

Now depending on where you live and the market itself, in-ground pools can add anywhere from 5% to 30%+ of the purchase and installation to the cost of your property’s value.

So for example, if you were to have a $100,000 house and spent $30,000 on adding a pool, the value of your house may rise from somewhere around $1,500 to $9,000.

Will Installing a Pool Fence Increase the Value of My Home?

Installing a pool fence when selling your home can potentially increase its value. A pool fence offers safety for children and pets, which is appealing to potential buyers. Moreover, it can contribute to compliance with local safety regulations. Thus, investing in a pool fence may attract buyers who prioritize safety and are willing to pay a premium for it.

Does a Pool Increase Home Insurance?

A pool by itself doesn’t change your home insurance costs, but when you choose to add a pool it is highly suggested that you change or add additional liability coverage ranging from $100,000 to $500,000(1) when installing a swimming pool.

This increased additional coverage will change your homeowners’ insurance costs and could add $50 to $75 to your annual premium in areas that don’t typically have backyard pools.

An Attractive Nuisance

Pools are viewed by insurance as “Attractive Nuisances“, whereas an attractive nuisance is described as “anything that might attract a child and pose a danger to the unsupervised child(2)“.

As a homeowner, you are responsible for taking reasonable measures to protect kids from the potential problems and dangers posed by an attractive nuisance.

Will Installing a Pool Fence Increase the Value of My Home?

Yes, installing a pool fence can indeed increase the value of your home. Not only does it ensure safety for children and pets, but it also adds an attractive feature to your property. Potential buyers will appreciate the added security and aesthetics of having an installing a pool fence in place.

Final Thought

So, will a swimming pool add value to your house? I love having our inground swimming pool in the yard since I live in Houston and the heat of the summer can sometimes be stifling.

Without a pool, we would have to look at a community or public pool or a gym membership that included a pool.

This has given our family so much extra fun and enjoyment from nights and weekends hanging out in the pool, reading, playing games, and having relaxing poolside dinners in the outdoor space we have.

I love having the pool and will never live in a house without a pool again after this, it makes the backyard a much more inviting space for guests and for people who like to have or host parties.

You do have lots of pool upkeep that can cause potential home buyers to not purchase a house though so make sure you have hired a strong real estate expert to showcase the benefits of a pool at home versus a community pool!

If you haven’t had a pool before then I also highly suggest this amazing course from Matt who has worked in the pool industry for over a decade – his course and videos on proper pool maintenance are unmatched.