It’s been freaking hot lately, so pools are on my mind. Can you relate? I don’t actually have a pool at my house though, so I’m stuck writing about them instead. Haha. Today, I have some interesting pool perspective to share, and I hope it resonates with you too. I’d love to hear your take in the comments.
UPCOMING SPEAKING GIGS:
6/26/24 Lyon Real Estate
7/9/24 Future Homes Q&A (private I think)
7/11/24 She Invests – REI Networking Group 6pm (register here)
7/23/24 Matt Gouge Private Event
9/17/24 Downtown Regional MLS Meeting Q&A 9am
9/20/24 How to Think Like an Appraiser class (details TBA)
10/18/24 Prime Real Estate (private)
10/29/24 Orangevale MLS Meeting
WITH AND WITHOUT POOLS (BIG DIFFERENCE):
There’s a huge difference in the stats when we compare homes with and without pools. The properties with pools are larger in square footage and lot size, higher in price, and they’ve taken slightly less time to sell too.
WHAT IS A POOL WORTH?
The chart above compares homes with and without pools, and if we took the price difference at face value, it suggests a massive number. The problem though is homes with pools on average are about 600 square feet larger, so this would be a terrible way to try to extract value. My advice? Try to find similar homes with and without pools. What is the price difference? Line up a few examples to try to discern what buyers are willing to pay. It’s okay to look at older sales too. You might not use old sales as comps, but you can use them as research. Also, remember that cost and value are not the same thing.
MORE POOLS AT HIGHER PRICES
In short, the higher the price, the greater chance there is a pool. This likely has to do with the cost of building a pool, cost of maintaining a pool, and even larger parcels at higher ranges – not to mention buyers at higher price points expecting a pool more often. By the way, I welcome real estate friends to use some of these visuals in posts and reels.
WHEN DO POOLS SELL THE MOST?
The rhythm of pool sales basically follows the pattern we see in the entire market. More sales as the year unfolds, and they typically peak around June. Some smaller areas could be slightly different.
POOLS AREN’T EVERYWHERE:
Pools are more common in some areas and price ranges. Of course, looking at sales isn’t the perfect way to show the number of pools, but it’s good enough to get the job done. Remember, sometimes pools aren’t common simply because of lot size (Downtown Sacramento has tiny lots).
SERIOUSLY THOUGH, WHAT IS A POOL WORTH?
It depends. Different price points and locations come with different expectations. There isn’t a one-size-fits-all answer for the value of a pool. In other words, we can’t just apply one figure to a property because that number isn’t going to make sense everywhere. This is where we have to study the comps. With that said, my observation is pool adjustments have generally gone up since the pandemic as buyers are more in tune with the importance of a backyard. Have you seen that also?
I hope this was interesting or helpful.
Questions: What stands out to you about the stats? Would you buy a house with a pool? Why or why not? I’d love to hear your take.
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