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Flip houses with a Pool... Good or Bad

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  • Posts 47
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Andrew Edwards
from Phenix City, Alabama

posted almost 6 years ago

I recently completed a flip ( well, its still for sale)on a house with pool.  Do you feel the pool is a positive or negative feature? Does it help or hinder the sale of the house?  Would you pursue a flip house because of the pool? 

Pool: Good or Bad????

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David Avetisyan
Rental Property Investor from Glendale, CA

replied almost 6 years ago

In SoCal, having a pool will increase the value of the home. 

Consider our weather climate, many people seek to purchase a home with a pool as it has many benefits.

I'm not sure if the above would also apply to your location. 

Good luck with the sale!

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Jesse T.
from Herndon, Virginia

replied almost 6 years ago

In Alabama it is probably warm enough it is generally a plus.  However it will turn off some buyers who have safety, maintenance and/or liability concerns.  Also it seems a pool would be a risk for requiring repairs that don't increase the house value.

One thing with flips is you want to limit your time on market, so you want the broadest potential buyer pool(no pun intended) possible.  Unless the pool is pretty much expected in the area/price range, a lower price would probably be more desirable.

My primary residence has a pool.  One smart thing the sellers did was provide contact info on prices for their pool maintenance company.  At least providing quotes might be helpful with your property.  Prepaying a year might be a good incentive, especially if the maintenance is common objection from potential buyers.

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Mindy Jensen
BiggerPockets Community Manager from Longmont, CO

replied almost 6 years ago

Unless your location is rife with pools, it can be seen as a negative. Florida and California have a ton of pools, and people want them. I had a house with a pool in Illinois, and it took a while to sell because of the pool. I would tout the pool's positives, and mention how easy it is to maintain, and perhaps even gift a year of pool service with the sale. We loved our pool, but it was a specific market.

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Larry Turowski
Flipper/Rehabber from Rochester, NY

replied almost 6 years ago

@Andrew Edwards This question is really two-part.  First, it is about comps.  How does a house with a pool comp out compared to another house similar in every way except it does not have a pool?  I'd take any house if the deal  is right.

Second, will the pool (forgive the pun) of interested buyers be greater or smaller?  To put it another way, will it sell more quickly or less quickly?  As others have already stated, that depends on your area.  I would imagine that it would help your house sell more quickly in Alabama your area.

Where I live there would be fewer people who would be interested in the house and so it would take a little longer to sell.  Not a big deal, but I might factor in a little extra holding cost.

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Andrew Edwards
from Phenix City, Alabama

replied almost 6 years ago

This particular Flip is in Alabama and there are ALOT of pools in the Area.  When I first purchased the house  I was looking at the pool as a plus...  The reason I would consider this a plus is at the price range I have this house listed ( 110K) there are not alot of pools.  I would say the majority of pools are in the homes that are 200k+ However, I have had several people who have looked at the house see the pool as a "turn off".  I had anticipated this house to be marketable to younger couples looking for a starter home... What I am see is that more people looking are not the younger generation looking for a starter home but mid to older generation looking to downsize.....  I still do not worry about the home selling but it has taken longer than I had anticipated.. 

So the real question I am trying to figure out for myself.... For my next flip, if in this price range, would I consider a pool a positive again...

@Mindy Jensen

@Jesse T.

@David G

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Jesse T.
from Herndon, Virginia

replied almost 6 years ago

Are you pricing based on the pool being a premium?  If so, I would drop the price.  If there is a premium, you should sell more quickly.

Also is the pool an in-ground pool?

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  • Posts 47
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Andrew Edwards
from Phenix City, Alabama

replied almost 6 years ago

@Larry T.

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Bob B.
Investor from Roswell, GA

replied almost 6 years ago

Is it an above or in-ground pool?

How much will it cost to remove and landscape?

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Andrew Edwards
from Phenix City, Alabama

replied almost 6 years ago

It is an inground pool and I did not base the asking price on the pool being a major added benefit...  I was anticipating the pool helping to draw interest to a good priced house.. Instead it seems to be deterring some that would be potential buyers.   I would still do another flip with a pool in a heatbeat if the price was right.. I am just suprised by the way seems to be working out..

@Jesse T.

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Andrew Edwards
from Phenix City, Alabama

replied almost 6 years ago

@Bob B.

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Bob B.
Investor from Roswell, GA

replied almost 6 years ago

I would think that for the next month or so if the area around the pool is attractive and the pool is clean then it might help sell the house. Plants and some cheap patio furniture will help.  Stage it like you would do a house.

Use the pool as a lead in on your advertising.

Have an open house with all your "pretty" friends partying around the pool.  Explain to prospective buyers what their life could be like of they buy your house.  Tell them that the friends come with the house.....

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Jason Hollon
Investor from Birmingham, Alabama

replied almost 6 years ago

Personally, if I'm making an offer on a flip house with a pool (here in Birmingham Alabama), I budget to fill it in and landscape over it.  Lots of horror stories about pools and pool maintenance from other investors.  And as others have noted, it will likely not help your days on market (at least in my area).

Insurance -- don't forget about the insurance issue.  I primarily use Foremost "vacant under renovation" policies, and as far as I know they do not allow pools due to the obvious liabilities.  Other carriers may allow pools on vacant flip houses, but you may pay higher premiums.  I'm sure this varies greatly by area.

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Andrew Edwards
from Phenix City, Alabama

replied almost 6 years ago

@Jason Hollon

I am not too far from you in Birmingham...  The way I had to insure the house was through a Landlord policy... but in order for the policy to remain active the pool either had to be fixed or filled with 45 days of the policy effective date.

I think on my next one I would budget for the Fix and/or Fill depending on the area of town.

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Jesse T.
from Herndon, Virginia

replied almost 6 years ago

I agree with emphasizing the pool.  It sounds like it is making your property a little bit more of a niche property.  However I think if you properly emphasize you have a feature that is typical at double the price point - I think it can work.

Are you listed with an agent?  Does your agent have a history of selling homes quickly?  If not would it be possible to get just an agent from the brokerage to take over the listing?

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Andrew Edwards
from Phenix City, Alabama

replied almost 6 years ago

@Jesse T.

It is listed with an agent, which has a pretty good track record... We are seeing pretty good traffic, depending on weather.  The weather has been pretty crappy here lately with alot of rain.. On the pretty days it is being shown.. just no offer's yet. 

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