Will Your Pool Add or Subtract Value??

Swimming pools are always a hot topic for the appraisal. People are always wondering if they are a good investment. Basically, I'll cover two types of pools, and in-ground and an above ground swimming pool.

An in-ground swimming pool is a regular pool that has been installed in the ground. Usually, it is made of concrete and offers concrete side walks and fencing around the pool. Next to the pool there will be a pump house that holds the filters. this type of a pool will at least have a chance at being valued, because this is a permanent fixture to the home.

To be given any value at all, the pool MUST be well maintained and in good working order and CLEAN, CLEAN. This is one item that must meet safety hazards and look good. If the home needs worked and the filter is broken, the pool is dirty with mold growing on the edges and looks like a swamp invested alligator pit, your pool will be given no value and most likely, the appraiser will subtract from the value of your home to bring the pool up to average condition.

If you decide that you don't want your in-ground swimming pool, you can bury it. In this case, break it down and bury it with dirt. In either case, make sure that it looks good or you can't see the pool and it offers landscaping over the top of the pool.


In other words, maintain your pool properly or take it out. Because if it is not maintained, it will lesson the chance of YOU selling your home and decrease the value of your home by at least the cost to bring the pool back up to average condition if you are getting your home appraised.

If you have an above ground pool, it is not as big a deal, because the appraiser will give the pool no value. This is because it is considered personal property. But, none the less, if the pool is in bad conditions, take it down. While it won't do much for your home value for the appraisal aspects, if you are going to sell your home, I can assure you that nobody will want to see a dirt, 1/2 broken swimming pool.

So now, back to the value, we've already discussed that above ground pools will be given no value for the purposes of the appraisal, so if you're planning to buy an above ground swimming pool to increase the value of your home, I'd reconsider. It will not increase the value by ONE PENNY!

For an in-ground swimming pool, the value of the pool will have to be determined from the market area. I have found that in-ground swimming pools may be given some value, but most of the time, they are not significant enough to significantly change the value of the property. If the pool is not maintained, the bank will usually have you fix the pool before they will give you a loan. If the pool does not offer fencing around or a safety cover, many banks and FHA loans will require you to put a fence around the pool or a safety liner so that there is a less chance of someone accidentally drowning.

Value of in-ground swimming pools

Here's what I've found. The value of these types of swimming pools will usually be difficult to prove. If your home is average for the market area and does not offers good overall quality, granite, tile and high quality finishing, you'll have a less of a chance to support the value of your in-ground swimming pool. This is because comparable sales in the northwest will be easier to find for higher end homes than average types homes. That said, there are plenty of average homes that offer in-ground swimming pools. Determining the value will be hit and miss, depending on the data available at the time of the appraisal. Here are some tips

If you are buying a home with a pool

Your best value is to find a home with a well cared for in-ground swimming pool. There is a high probability that you will not have to pay the full cost of the swimming pool, but you'll get to enjoy it.

If you are selling your home with an in-ground swimming pool

You'll have a better chance of selling your home if:1. Your lot is large enough to offer an in-ground pool without taking up the entire yard with the swimming pool
2. If your swimming pool is well maintained
3. If your pool offers a fence or cover to prevent drowning

If you are refinancing your home

You'll have a better chance of refinancing:1. If the pool is properly maintained and looks good
2. If the pool is fenced off for safety
3. If you did not take out a loan to build the pool and you think that the pool will increase the value of your home. In most every case, the cost of the pool in colder climates will be much more than what you'll get for the value of your pool.

credit to: increasehomevalue.org