A swimming pool can be a good investment if it is of the right size and you live in the right place — and if you’re willing to put in the time and maintenance effort to keep it in good shape. It’s important to carefully weigh the costs of installation and maintenance of a pool against the actual utility/value of the pool — which could be assessed in terms of how many months per year you get to use it. Here is more information to consider before you invest in this expensive addition to your home.
Swimming pools can increase the market value of your home, but you’ll probably be looking at returns of between 15 and 25 percent. That’s not a lot in resale value. It’s estimated that the cost to install a swimming pool averages between $5,000 and $12,800, depending on size, depth and accessories. This doesn’t even account for the cost of long-term maintenance, which includes chemical balancing, vacuuming and other care required to keep it in shape. In the end, you could be looking at an additional $250 for swimming pool maintenance every year. Is that worth the maximum 25 percent increase in home value you could get back?
Where You Live
if you live in a moderate climate where almost no one has a pool, your home is likely to attract fewer buyers when the time comes to sell. This could decrease the overall sale price of your home as a result. Pools are attractive in tropical climates with more hot months than cold — climates in which you’ll have two seasons rather than four. Buyers are also sometimes not interested in the maintenance and care that a pool requires.
Best-case scenarios in which your pool will add to your home investment are:
- Everyone in your neighborhood has a pool.
- You live in a tropical area.
- Your yard has enough room for more landscaping or play areas in addition to the pool.
In short, your pool has the best shot of adding value to your home if you live in a hot, tropical area where neighboring homes have pools as well, whereas you might in fact end up with a negative ROI from installing a pool if you live in areas where there aren’t any pools in the neighborhood.