Pools inground

[NC Appraising]

Adjustments are not what they use to be...I hope review appraisers are aware of this.

In my market, the day's of 0-30% of cost is over. Pool companies are 1 year behind and in some of my markets are getting a 100-115% ROI. Of course the age, type, quality and amenities are still a huge factor.

Are you still seeing pre-covid adjustments for the pool?

 

[Sadie]

Here in the PNW, pools aren't very popular.

 

[Terrel L. Shields]

The last pool sale I had seemed to indicate a very marginal contribution for a rather expensive pool. Maybe 2 bucks on 10 spent. Otherwise, the effective age was well above its actual age in the dwelling and the dwelling wasn't but 10 years old.

 

[Bob Ipock]

I see the opposite. New sub-divisions tend to have pools (tennis, trails, clubhouse) which reduces the need/desire to have your own and all the expense and upkeep

 

[NC Appraising]

I see the opposite. New sub-divisions tend to have pools (tennis, trails, clubhouse) which reduces the need/desire to have your own and all the expense and upkeep

Before COVID I would somewhat agree. But take a aerial view of the area and talk to some pool companies to see how busy they are. Also, talk to RE Agents to see how much pools and outdoor living areas are in demand.

I still ask the same question....you have a PUD with many amenities, and dumb borrowers want to spend $80 grand for a pool? And you pay $1000 a year for HOA fees.....???

After COVID, everything got shut down, including the pud pool. Also, no one wants to go around anyone and privacy is a major factor. People like privacy.....skinny dipping....making sweet love....LOL....Pool parties....

Pools in starter communities still have the lowest return. Middle and High-end PUD's have the highest returns. HGTV coined term "entertain". People like to gather at their own homes and throw parties....entertain...blah. Old people with money likes their privacy.

Furthermore, most neighborhood pools are only open for several months and at limited times of the day.


PS, another good reason to know your market and these out of state reviewers need to be put out of biz.

 

[Fresh Start]

The pandemic definitely changed values given to different aspects of home. It's a good topic and I'm glad to see it being discussed. We're in the business of quantifying qualitative decisions with regards to many aspects of home and during the lockdown, things that people had taken for granted, suddenly became significant and the value attributed to them and what people were willing to pay for them changed dramatically in some cases. There is a 6-8 month in my area for new construction of IG pools, even 2-4 months on sheds that are being converted to home offices. The cost did go up on some things due to the lumber shortage that happened but then again, the cost-benefit changed as well. Most of these types of topics have to due with the psychology of home buying, it's never the same and most appraisers and U/W are not trained to spot the value trends in the early stages.

 

[glenn walker]

The pandemic definitely changed values given to different aspects of home. It's a good topic and I'm glad to see it being discussed. We're in the business of quantifying qualitative decisions with regards to many aspects of home and during the lockdown, things that people had taken for granted, suddenly became significant and the value attributed to them and what people were willing to pay for them changed dramatically in some cases. There is a 6-8 month in my area for new construction of IG pools, even 2-4 months on sheds that are being converted to home offices. The cost did go up on some things due to the lumber shortage that happened but then again, the cost-benefit changed as well. Most of these types of topics have to due with the psychology of home buying, it's never the same and most appraisers and U/W are not trained to spot the value trends in the early stages.

In SO CALI -Pool builders are booked for 6 to 9 months -typical cost new $35,000 to $100,000 -on resale we are seeing about a $20K to $25 in mid price homes and $50,000 plus on larger homes. BUT on the other hand Pool homes sell home even in normal CA market tend to see almost day one there listed.

 

[NC Appraising]

I probably did 25 refis last year and the reason for the refi was for a pool. I also ask the borrowers why? During COVID, the community pool was closed, no travel, no eating out, and being stuck in the home 24/7 with their husband, wife and kids. Shuck my head....and rolled my eyes. Monopoly money. Impatient.

Inflation.

FWIW, I just sold my 2013 pontoon boat. 1 hour of being listed, I had over 30 offers. I sold it for $20k. Pre-Covid, it was worth +-$14,000. I probably could have gotten $24k.... Do some research on new pontoon boats. Last I checked they were > six months out. Same demand for travel trailers.

I think in 2-3 years there will be a gross over supply of boats and travel trailers due to the herd mentality. Hopefully, this will be true with pools.....maybe I can get one on the cheap.

 

[The Bob]

Just did one where one of my comps had a nice IG pool. Agent comments didn't even mention it. 0 affect on value. This was entry level. Increased maintenance/liability and limited utility. At the higher end of the market it's a different story. They can add a lot, especially if part of larger landscaping package and/or with pool house. They look like something you see at a resort.
When I was doing REO's they would sometimes have them filled in.
Usually the more you see a feature, the more likely it adds to value. Do an aerial over your higher priced areas and you likely see more pools than in lower value areas.

 

[Tim Hicks (Texas)]

It depends on your location. They are everywhere here and with 90+ temperatures for 3-6 months it is a typical improvement. Now those worthless basements...