Does A Swimming Pool Boost or Hurt Your Home's Value?

There's nothing more satisfying than lounging around the pool in your own home on a sweltering day, with a cocktail or a book in hand. The kids, meanwhile, are busy practicing their dives or just lolling about on pool floats.

Having a pool has always been seen as an upscale bonus. But the naked truth is, some consider it necessary, while others view it as a deal-breaker. If you're a homeowner who’s thinking about adding an in-ground pool and wonders whether it’s a wise investment and if it adds value to your property, continue reading to dive into the details.

According to the National Association of REALTORS® Remodeling Impact Report: Outdoor Features for 2023, homeowners who add in-ground pools to their properties can expect to recoup about 56% return on their investment.

At most, your home's value might increase by 7% when it comes time to sell, according to HouseLogic. Still, that all depends on a variety of factors. Here are some of those circumstances:

• If you live in a higher-end neighborhood and most of the homes have pools - Not having a pool might make your home harder to sell.

• If you live in states with warm climates - In the Sun Belt region, pools are commonplace and can be an attractive feature for potential buyers. Having a pool might be an expectation for your property, and the absence of one can affect your home’s value. But if you live in areas where the climate is generally cold and pools can be used only for a few months, having one is a perk but not a necessity. Buyers may pause and weigh carefully whether it’s worth the hassle.

• If the pool is well-maintained and nicely designed - A well-maintained pool with patios, shade structures, and outdoor furniture can boost your home’s value. Neglected pools can be an eyesore.

• If your property is large enough to accommodate a pool - A pool in a small yard may not add much value if space for a garden or play area is compromised.

According to the report, landscape professionals estimated the cost of building an in-ground pool at $90,000. This price is based on an 18-foot-by-36-foot in-ground pool with gunite (mix of sand, water, and cement) walls, 3-7 feet depth, and a standard filtration system.

As per HomeGuide, an inground pool costs $80 to $250 per square foot with installation, or $25,000 to $100,000 total, depending on size and material. Custom upgrades such as lights, a slide or diving board, a heater, and landscaping will cost extra.

Most states also require safety features like fences, enclosures, and covers to protect children and pets. Pool fencing alone can cost from $5,000–$15,000.

Regardless of the type and design of your swimming pool, it will require sanitation to control bacteria and germs. Water needs to be balanced for proper pH, alkalinity, and calcium levels. Some monthly and yearly costs include:

• Pool maintenance - Experts say this could cost anywhere from $80 to $150 a month for cleaning, chemical balancing, seasonal opening/closing, and repairs.

• Filtration - Efficient pumps cost more upfront but save energy over time.

• Heating and electricity costs - Gas or electric heaters cost $2,000–$5,000. Pump operation may cost $300 per year. Heating can add $500–$800 to annual utility bills.

• Winterizing - Required in cold climates, including lowering water levels, cleaning, clearing water lines, and installing a cover.

Homeowners insurance typically covers the pool structure, but check how it affects your rates and liability coverage. Lack of a pool fence may result in denied claims. Some areas may also increase property taxes without necessarily raising selling price.

There's no one but you, the homeowner, who can determine the true return on investment of a luxury item such as a swimming pool. It’s up to you to decide if it adds value to your quality of life by making it a place for rest, relaxation, and special life moments.

The NAR Remodeling Impact Report showed that adding a pool gave homeowners a “joy score” of 10 on a scale of 1 to 10, indicating that it had a significant impact on a homeowner’s sense of enjoyment and accomplishment. At least 90% of respondents reported having an increased sense of enjoyment when at home after adding an in-ground pool. It may be hard to put a price tag on that.

At the end of the day, this is your home. If you plan to put down roots, have the money to spend, and have considered the pros and cons, go ahead, plunge into it, and enjoy the swim.