Study: Outdoor Projects Pay Back at Resale
Home owners may want to focus more of their remodeling dollars on boosting curb appeal. Outdoor remodeling projects not only offer some of the highest returns at resale, they can also increase the happiness of home owners who are staying put in their homes, according to the 2016 Remodeling Impact Report: Outdoor Features, which was released Tuesday by the National Association of REALTORS® and National Association of Landscape Professionals.
Read more findings from the report.
Taking care of the home’s lawn can bring some of the biggest bang for your buck. The Remodeling Impact Report found reveals that REALTORS® find projects like seeding the lawn, implementing a standard lawn care program, and updating a landscape with sod lawn can have some of the highest returns at resale.
“REALTORS® understand the importance of curb appeal-from flower beds to fire pits- because when it is time to sell, a home’s exterior is its first impression to potential buyers,” says NAR President Tom Salomone. “REALTORS® also know that these projects can bring home owners who have no plans to sell even more enjoyment and satisfaction in their home.”
REALTORS® ranked the following outdoor remodeling projects as the most likely to add value to a home at resale (listed from highest to lowest):
- Landscape upgrade
- New patio
- New wood deck
- Standard lawn care
- Sod lawn
- Seed lawn
- Outdoor fireplace
- Outdoor firepit
- New pool
For home owners in search of more happiness, they may want to consider a pool. The study found that a new pool comes in number one in the enjoyment home owners gain from an outdoor remodeling project. Ninety-five percent of home owners who completed a pool project said they have a greater desire to be home; 90 percent feel a major sense of accomplishment; and 80 percent say they have an increased sense of enjoyment when they are at home, the study finds.
But home owners shouldn’t bank on recouping the full cost of the pool at resale. REALTORS® estimate that home owners likely will only recoup 50 percent of the cost of the pool at resale.
Other outdoor remodeling projects that scored high on bringing “joy” to home owners was an overall landscape upgrade, followed by a new wood deck.
“Home owners looking to take on large, expensive outdoor projects should do so for themselves, for the enjoyment they and their family will gain from the finished results, and not only to improve the value of their home for when they sell,” Salomone says. “Smaller projects will bring potential sellers the most value back upon resale – and have the benefit of costing less up front.
Source: Realtor Magazine National Association of Realtors 9/27/16