Will a pool increase my home value? As an Appraiser in San Diego, CA, I get this question all the time. My usual answer is, that it depends.  There are so many factors that we need to look at as appraisers to accurately assign value to an amenity like a pool.

First, we need to look at the average costs for a pool.  In San Diego, a typical new construction pool and spa costs about $100,000-$125,000.  This includes permitting, engineering, and designing the pool. Remodeling an existing pool will cost about $85,000 which includes all new plaster, new equipment, tile, and coping. There is a cost savings with a remodel as you are typically going to use the same design and shell (rebar and hole is already excavated). Remember these are average costs, I have clients with elaborate pools with swim-up bars, infinity edges at the end of hillside slopes, or custom waterfalls that easily exceed the average costs who have spent upwards of $250-$500k for their pools!

Important Questions to ask

As an appraiser or Realtor, you may tour homes with existing pools.  It is important that you ask the owner questions about the pool and even hire a pool inspector to test the major components of the pool. Here are some important questions to ask.

• Age of the equipment
• Single or Variable-speed pump
• Heat source (natural gas, propane, solar)
• Age of the plaster
• Look for Visible signs of plaster/tile cracking
• Type of water system (chlorine or salt water)
• Monthly maintenance costs (including water loss due to evaporation)

Cons to Owning a Pool

It is important to remember that the cost of construction does not always equal value.  Just because your pool costs you $125,000 to build does not mean it will add that same number to your home value.  Here are some examples of the market reacting negatively to a pool.

• Pool takes too much of your useable yard
• High maintenance and upkeep costs
• Safety issues (with young children or people with mobility issues)
• Fencing and alarm requirements
• Higher insurance premiums
• Some prefer a garden or a larger yard instead.

Pools are considered a luxury amenity with ongoing costs to maintain. If you are selling a house with a pool, certain buyers will not pay more for it or may consider it a negative as they may rather fill in the pool after purchasing the property.  Buyers who want a pool will pay more for a house with a good quality pool while buyers who don’t want one will factor in the costs to fill them in.

Pros to Owning a Pool

• Having a pool is fun!
• Great exercise
• More Vitamin D
• Relieves stress/relaxing

In San Diego, California, the market generally looks favorably on pools as we have the perfect climate to utilize pools year-round.  Personally, we have had both new construction and a pool remodel here in San Diego, and don’t regret it. We can’t imagine owning a house without a pool. Having pool parties and making memories with family and friends are priceless. As long as your pool is well-maintained, safe, and does not take up the majority of your yard space, you should expect a higher market price on your home than a comparable home without a pool. You can easily check market acceptance by taking a quick look at Google Aerial Maps to see the number of pools in your neighborhood.

From an appraisal perspective, we would look at matched pairs to extract an adjustment for a swimming pool.  This way we can actually see that buyers are paying more for a home with a pool compared to those without.  Again, we are not using the cost of construction, but rather the market demand for the amenity.  In my 20+ years as an appraiser in San Diego, and valuing thousands of homes with pools, most pools do indeed contribute to higher values but the homeowner typically does not recoup what they paid for the pool to be constructed.