Investing in a Pool: Above-Ground vs In-Ground for Home Resale Value
When deciding whether to invest in an above-ground or in-ground pool for your home's resale value, the decision can be a subjective one that largely depends on your personal preferences and the local real estate market.
The Pros and Cons of Above-Ground Pools
For many homeowners, the ease of installation and removal of an above-ground pool can make it a more favorable option. Unlike in-ground pools, which require significant investment in terms of time, money, and structural changes to the property, an above-ground pool can often be installed and removed relatively quickly. Additionally, many homeowners like the flexibility of an above-ground pool, as it can be easily taken down and stored during the colder months.
However, above-ground pools may not always add value to your home. The study of a PhD on the contribution of pools to market value found that an above-ground pool can sometimes be a negative, especially if the pool is not well-maintained or if the yard hosting the pool is not in good condition. Most above-ground pools are considered to be aesthetically unappealing, and many potential buyers may not find them appealing or contribute to the overall market value of the home.
The Pros and Cons of In-Ground Pools
In-ground pools, on the other hand, can be a more attractive and valuable feature for high-end homes. However, these pools require significant infrastructure changes, such as the installation of a deck, landscaping, and proper drainage, which can add considerable costs to the project. In well-established and affluent neighborhoods where most homes include a pool, in-ground pools can be a valuable investment.
Despite their appeal, in-ground pools may not always contribute positively to a home's resale value. The study found that the overall contribution of in-ground pools was neutral - it did not significantly add value or detract from the home's market value. Some buyers may love in-ground pools, while others may prefer other features in their homes.
Geographic Considerations
The value of both above-ground and in-ground pools can vary significantly based on the geographic location. In regions with warm climates such as Southern California, Hawaii, or Phoenix, Palm Springs, Florida, having a pool and outdoor entertainment space can potentially recover your investment and even add value to your home. However, in colder Northern states, pools may be seen as a liability and can negatively impact the home's resale value.
Above-ground pools are generally easier to remove, making them a more flexible choice. This can be a significant benefit when you're considering the long-term resale value of your home, as it reduces the risk of the pool becoming a selling point against your home if it's not well-received by potential buyers.
Personal Choice vs. Market Value
Ultimately, the decision to invest in a pool for your home's resale value is a matter of personal preference and market conditions. If you have a pool in a home and are considering selling, it may not be the most strategic investment for maximizing resale value. However, if you're building or remodeling a home in a warm climate, where pools are common and desired, then investing in an in-ground pool could be a worthwhile venture.
For those who enjoy the convenience and flexibility of an above-ground pool, it's essential to weigh the potential benefits against the potential drawbacks in terms of the local real estate market. In some cases, the in-ground pool might be a better investment, but in others, an above-ground pool may be a better choice based on the specific circumstances and market conditions.
Before making a substantial investment in any type of pool, it is advisable to consult local real estate professionals to understand the housing market in your area and the overall value propositions of various types of investment.