Friday, December 23, 2016     Hilda Campbell     Home Renovations and Maintenance

Featured Photo

I’ve never owned a home with a swimming pool, but have often toyed with the idea of getting one. Aside from the cost, one of the biggest deterrents for me has been whether or not the amount of actual use/enjoyment could justify the cost. I’ve also pretty much always known that homes with pools can be more difficult to sell.

I recently read the following in the Globe and Mail:

“When it comes to assigning a value to something that is beautiful and gives you and your family hours of pleasure, it can be hard to put a price tag on it. However, from a real estate perspective, the value of a swimming pool is strictly in the eye of the beholder – or the potential homebuyer.

It comes as a surprise to some homeowners that although it is one of the most expensive improvements that can be made to a property, a swimming pool does very little to add to a home’s resale value. In fact, having a pool on your property may even have a negative effect on its value. Why? Well, the answer is just simple economics; specifically, the law of supply and demand.

The resale value of a home is influenced to some degree by the cost of the property itself and the structures and improvements upon it. However, resale value is primarily determined simply by what price the market will bear. For example, a beautiful house on a large lot won’t bring a good price if it was built on a toxic waste site and no one wants it. Alternatively, a simple rural shack might command a very high price if it was the birthplace of Elvis Presley, and there’s great demand for it. In a similar vein, the price of installing a pool can’t simply be added to the cost of your home to determine its new resale value. It’s really all a question of who wants it.

In the case of swimming pools, the reality is that not all buyers want a pool. In fact, many buyers give their real estate representative specific instructions that they do not want to view properties with pools. This diminishes the number of buyers that may be interested in your property and, in general terms, the lower the interest, the smaller the chances of getting a top price. If you’re a homeowner who is considering adding a pool to your home, it’s advisable to make your decision solely on the basis on how it will add to the quality of life for your family. If you can afford it and the pleasure it will bring is worth the cost – then go for it! Just don’t make the mistake of thinking that your investment will be recovered when the time comes to sell your home.”

My own personal experience has been that most of my clients with small children, or clients who are empty nesters, do not want a pool. Couples with small children feel pools are a safety concern and older clients don’t want to be bothered with the upkeep.

When you consider the cost of an in-ground swimming pool with landscaping, costs tens of thousands of dollars or more, ask yourself whether you will be staying put for a long time or whether you see yourself moving in a few years. If you think you might move, be aware that you will most probably not re-coup the cost of the pool and that it may take longer to sell your house. Only you can decide what is right for your family. 

When you’re ready to buy or sell in the Burlington or Oakville area, or for general real estate advice, please contact me. I can help!

Information contained herein is general information and in no way should be deemed to be specific advice. Data and information relate to and is based on the author’s local real estate market, and is subject to change at any time. This blog represents the opinion of the author. No warranties implied or expressed have been provided. Please contact the author directly if you would like advice relating specifically to your transaction.

  Go Back