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Can Adding a Pool Increase Your Home Value?

On scorching hot days, there’s nothing like taking a dip in a swimming pool. In some areas of the country, a swimming pool is close to a necessity. In fact, there are 10.6 million swimming pools across the U.S., with 3,000,000 of those in California alone. From in-ground to above-ground, chlorine to saltwater, there are numerous styles, sizes, and prices of swimming pools. And while having a swimming pool just steps from your back door may sound appealing, is it really a good economical choice and does it increase your home’s value? There are a lot of factors to consider before adding a swimming pool, or even before buying a home with an existing swimming pool.

installing a pool at homeinstalling a pool at home

The Cost To Install

While having a pool sounds like a great way to be the life of the party when hosting friends and family during warm months, it can be pricey. And as with most large purchases many people finance the addition. The average cost to build an inground swimming pool is $35,000, with most spending between $28,000 to $55,000 for the initial investment. Of course, the amount of site work, soil type, and additional finishes can greatly impact the cost of a swimming pool. For many, the equivalent of a new car is worth the enjoyment a swimming pool would bring.

The Cost To Maintain

The costs associated with maintaining a swimming vary based on location, size, and type. According to Michelle Sbabo, co-owner of Northwest Arkansas Pool and Spa, homeowners can “expect to spend a minimum of $500 per summer on chemicals and supplies – plus at least a couple of hours a week testing water, adjusting chemicals, brushing, vacuuming, cleaning filters, netting, and emptying skimmer and filter baskets.” Depending on the type of swimming pool, average annual maintenance costs can vary from $375 to over $2,750. When choosing the type of swimming pool, it’s important to inquire with a local pool maintenance company what to reasonably expect in annual maintenance costs.

Read: Tips for Selecting Above-ground Pool Equipment

The Cost To Open and Close A Pool

For some parts of the country, swimming pools can remain open year-round; however, in colder climates, homeowners must close swimming pools to prevent damage from cold weather. According to Sbabo, “Closing a pool will run $200-300 for a standard pool, more with complex equipment and plumbing. Opening a pool is roughly the same cost as closing – unless the pool is extremely green or dirty and requires more time and chemicals to clean up.”

pool at housepool at house

How Your Geographic Location Affects Your Investment

Michelle Sbabo of Northwest Arkansas Pool and Spa also explains that “The contents of source water also affect pool water care. In many parts of the country, for example, the water is very high in calcium and other minerals. This can cause scaling on pool surfaces and inside equipment, and water must be treated appropriately to minimize scale damage. Additionally, weather and environment greatly impact pool care. Pools in areas with a lot of rain or wind may need a greater range of chemicals to address contaminants that enter the pool. And certain plants and trees can cause maintenance issues.”

Read: Tips for Landscaping Around a Pool

How A Swimming Pool Affects Homeowner’s Insurance

Once a swimming pool is on a property, the chance for injury or death increases which is why homeowner’s insurance increases with a pool. According to Zack’s Investment Research, insurance companies typically require an increased liability coverage, sometimes up to half a million dollars, and some even encourage additional umbrella policies. There are ways to keep premiums at a reasonable rate by installing a locking gate around the pool, keeping the pool covered with a safety tarp, adding motion sensors to the pool, and even cameras surrounding the pool.

…But Will A Pool Add To Your Home’s Value?

One of the important things to remember: swimming pools aren’t for everyone. So just by the mere fact that a pool is on the property, there will be a group of potential home buyers that will not be interested. However, the bottom-line answer is: it depends. For some geographic areas (like Southern Florida or California), a swimming pool can certainly increase appeal- and value. However, in areas like Michigan or Northern states, they may have less desirability and the pool could appraise for less than the install price. However, a recent study by LendingTree shows that homes with a pool are valued at 54% higher than those without one.

Tips From The Expert

Michelle Sbabo, co-owner of Northwest Arkansas Pool and Spa offers a few tips for those thinking of adding a pool or buying a home with an existing pool.

  • Most home inspections don’t include the pool. If the buyer is new to pools, it’s a good idea to hire a pool pro to check the equipment and understand any potential expenses.
  • Contact a local pool maintenance company to teach you how to care for a pool. Many new pool owners greatly benefit from a “private pool lesson”.
  • Check into a Home Warranty that covers pool equipment. We have seen major equipment expenses covered by good warranty programs with only a small deductible out of pocket.


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Jennifer is an accidental house flipper turned Realtor and real estate investor. She is the voice behind the blog, Bachelorette Pad Flip. Over five years, Jennifer paid off $70,000 in student loan debt through real estate investing. She’s passionate about the power of real estate. She’s also passionate about southern cooking, good architecture, and thrift store treasure hunting. She calls Northwest Arkansas home with her cat Smokey, but she has a deep love affair with South Florida.

Source: homes.com

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I Live For Home Decor, Here Are 30 Fashion-Girl Approved Items I’m Eyeing – Who What Wear

Back when I was commuting to NYC, I paid attention to my room decor, but not nearly as much as I do now where I’m quite literally in my house 99.9% of the time. I think many can agree with me, as I’ve seen girls all over Instagram taking 2020 as an opportunity to completely refresh their space and make it not just more appealing, but cozy as well. You could say I went down a rabbit-hole of home decor, continuously refreshing the #homedecor page on TikTok and adding to my Pinterest board with mid-century modern inspiration. After creating an idea of what I wanted to add to my space, the product search began. Luckily for you, part of my job includes sharing those findings, so that’s exactly what I’m going to do. 

Ahead, you’ll find 30 decor items that’ll add a special touch to any space you put them in. There’s plenty of fashion-girl approved items to choose from, like unique shaped vases, chic candles, and even pots that will take your house plants to a new level. Most of these items may be small, but they’ll still be sure to leave a big smile on your face as you go throughout your day. 

Source: whowhatwear.com

A great presentation: 6 easy tips for staging your own home

There’s no question that staging your décor is advantageous when you’re trying to sell your home.

The strategic editing and placement of your furnishings can be enormously important to boosting its appeal. In a recent NAR survey, in fact, 77 percent of buyers’ agents agreed staging is important to helping potential buyers envision a given home as their own. Fortunately, conducting your own staging need not be complex; you should be able to mimic professional techniques by following a few easy guidelines:

  • Prioritize by room. The NAR reports you’ll get the most visual impact by staging your living room, primary bedrooms, kitchen and extra bedrooms(s), in that order.
  • De-clutter. Cleaning will be easier after you pack away at least 90 percent of your own décor and personal artifacts. Your goal is to create a minimally decorated space buyers can imagine moving in to.
  • Deep clean. Everything must be groomed, sparkling and odor-free inside and out.
  • Divide and conquer. Plan to remove about half your furniture to give the impression of optimal space. If it’s all unpresentable, use stylish rental pieces or fake “pop-up furniture” for showings. Tip: Wherever possible, move display furniture away from walls (a technique known as “floating”) to create groupings that are tied together visually with area rugs.
  • Accessorize inside and out. Create an atmosphere of airiness, friendliness and cheer by selectively adding new flowers, potted plants, attractive seating and welcome mats outside, perhaps fresh flowers and bowls of fruit inside.
  • Optimize light. Add brighter light bulbs, pull back curtains, clean windows and clean (or perhaps update) light fixtures to add to the overall impression of positivity.

Source: century21.com

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Buying A Second Home? 8 Things To Consider

Buying a second home is a major expense. You might have several reasons for wanting to buy a second house. Perhaps, you’re buying a second home for vacations or weekend getaways. Or, it might be that you want to use it as a rental property for rental income. However, there are things to consider before buying a second home.

The benefits of buying a second home

If you’re buying a second home for rental income, you’ll benefit from many perks, especially tax advantages.

For example, you will be able to deduct interest, property taxes, homeowners insurance and other expenses against the property’s income.

Even if the value of the property declines, you will still be able to deduct depreciation from your taxes.

While these benefits are great, the mortgage requirements for a second home are much stricter than for a mortgage on your primary residence. So, make sure you can afford it.

8 Things To Consider When Buying A Second Home

1. Financing options: When you bought your first home, you had available to you what’s called an FHA loan – a government loan program.

FHA loans are an appealing and favorite choice among first time home buyers due to their relatively low down payment requirement.

FHA loans require a 3.5% down payment and a relatively low credit score of 580. However, FHA loans are not available to second home buyers.

That is because FHA requires the home to be the borrower’s primary residence. So, if you’re thinking of buying a second home, you will need to either use a conventional loan or financing it with your own cash.

2. A larger down payment: If you’re using a conventional loan for your second home, you will need to come up with a larger down payment.

Lenders for a conventional loan usually requires a 20% down payment of the home purchase price.

But for a second home which will be used as a rental property or vacation home, expect lenders to ask for 30% or even 35%.

3. A higher credit score. For an FHA loan, you only need a credit score of 580 to qualify. But for a conventional loan on a second home, you will need much higher credit score — usually 750 or higher.

4. Expect a Higher Interest Rate: Lenders will likely charge you a higher interest rate on your second home than your primary residence.

The reason is because they see a second home — be it a vacation home or a rental property — as riskier. They feel that you are more likely to default on a mortgage on your second home than on your primary residence.

5. Do your research: Just as you did your homework when you bought your place to live in, buying a second home is no different.

In fact, you’ll need to spend more time researching rental property. That means researching the neighborhood you will want to invest in, knowing the zoning laws for a particular area, the sales price for the homes in the area.

You will need to know if the area has adequate public transportation, schools, grocery shopping, etc,– things that potential tenants will need.

6. Be prepared to be a landlord: if you’re buying a second home to rent, be prepared to be a landlord.

And be prepared to deal with all of the headaches that come with being a landlord. Do you have sufficient time? Can you deal with problems?

Owning a rental property and being a landlord is time consuming. It is also hard hard work and you have to do your due diligence.

You can hire a property manager to run the property for you. But if that is not feasible, you’ll have to do it yourself.

That means, screening new tenants, collecting rent, dealing with delinquent tenants, fixing problems in the property, such as a broken pipe.

So before buying a second home, make sure you have sufficient time and make sure you can deal with the day-to-day headaches that come with being a landlord.

7. Do you have a stable income? Dealing with a second mortgage on your second home is doable.

While you may be able to afford upfront costs, if you don’t have a stable income, you may have to think twice about whether it is a good idea.

Plus, you still have to consider the additional expenses of owning a second home such as insurance, property taxes, maintenance, repairs, property management fees, etc.

8. Are you out of credit card debt? If you have paid off outstanding and high interest credit card debts, then purchasing a second home may make sense.

But if you’re still struggling to pay your debt, you may need to put buying a second home on hold. 

The bottom line

If you’re thinking about buying a second home, whether it is for investment or vacation, be prepared to save some money, budget for expenses, and come up with a bigger down payment.

More importantly, spend as much time, if not more, researching for the home just as you did when your purchased your primary home.

Speak with the Right Financial Advisor

  • If you have questions about your finances, you can talk to a financial advisor who can review your finances and help you reach your goals (whether it is making more money, paying off debt, investing, buying a house, planning for retirement, saving, etc).
  • Find one who meets your needs with SmartAsset’s free financial advisor matching service. You answer a few questions and they match you with up to three financial advisors in your area. So, if you want help developing a plan to reach your financial goals, get started now.

Source: growthrapidly.com

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Why Refinance Rates Are Higher Than Purchase Loan Rates

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