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Pools are for Swimming

Posted July 5th, 2010 under renovations and repairs, smart selling.

With summer heat here, some of you are probably considering putting in a pool. But ask yourself, do you want a pool so you can swim, or as an investment? If you're counting on a pool to increase the market value of your home, you may be disappointed.

In today's market, there are just as many people who prefer not to have a pool as there are people who consider it a plus. When you sell, a buyer who does not want a pool will mentally increase your asking price to compensate for the cost of removing the pool. Even a buyer who wants a pool will generally not be willing to pay very much for it. As a result (though there are always exceptions), the average pool returns only 20%-30% of its installation cost when selling.

Of course, there is also the annual cost of maintenance to consider. Chemicals and the yearly opening and closing can range considerably in price, but a good estimate is anywhere from $400/year (if you do everything yourself) to $2000/year or more (if you hire professionals). If you install a pool heater to extend your swimming season by a few weeks, the annual cost will be even higher. Obviously, there comes a point where the annual maintenance will completely wipe out any increase in your selling price.

A pool is more than worth the price if you or your family love to swim. But if you're looking for a smart investment, look elsewhere.

Want to know more about the value of renovations? Just ask me, I'll be happy to help.

--Peter

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