While those in the real estate industry may differ about which remodeling efforts pay off the most, all agree that some home improvements never recoup their costs. For example, a swimming pool is quite expensive and could cost $50,000 to $100,000. If you’re in a neighborhood of $250k homes, there is no way you can expect your buyer to assume the additional expense you invested in your pool. A swimming pool may actually lower the price of your home if the potential buyer sees the pool as an added expense in terms of maintenance and energy. The lower the price of the home, the less likely you’ll ever recoup the cost of a pool.
In addition, you are actually limiting your market by putting in a pool. Some parents are extremely concerned about having their children around pools. Pools also raise insurance rates and liability exposure. In many states, even neighbors who climb your backyard fence without your permission can sue you if they are injured in your pool.
Extensive landscaping is another aspect of the home that won’t bring you a huge return on your investment. People want to be able to put their own major touches on their yard. While your yard should be healthy, trimmed, and accented with inexpensive flowers, adding expensive trees or irrigation lines probably won’t make much of a difference in your home’s sale price.
Other home improvements that, though nice, do not translate to an increase in your asking price include high-tech amenities such as surround sound, brushed nickel fixtures, a security system, a remodeled home office, or an added sun room.