Is a swimming pool worth the capital cost?

Question

I understand swimming pools are usually not a big payoff improvement, however a colleague I greatly respect speaks mountains of them. Is this something I should put some of my seed capital toward on my current flip? The site is right for a swimming pool in the back yard. What are some things to consider when trying to maximize return from an in ground pool?

Brent Coombs · Answer

Account Closed, there are some status-symbol suburbs (think Beverly Hills CA), where it's expected that a pool is standard, and then it just becomes a competition between buyers as to whether a rooftop pool, or indoor heated pool, or cliffhanger pool makes the bigger status statement. So, for your $2M+ purchase that you want to flip for $3M+, sure, you must get that pool in!

Not that the buyers will hardly ever use it. But, they'll flaunt it in front of their guests!

For every other suburb however - forget it! @Wayne Brooks' Rule rules in those suburbs...

Account Closed · Answer

@Wayne Brooks simple advice, seems like a pretty bad gamble given the bottom line! Thanks!

Account Closed · Answer

I agree with @Joel Brown, unless the neighbourhood is dominated by pools, it doesn't make sense to build one. Good thoughts on renting the unit, you make good points.

Joshua Greenberg · Answer

@John Krasner that does sound like a way to make your park more family friendly and reduce the cost of the swimming pool overall. It even becomes a source of income in 2 or 3 years if you are able to include a small yearly fee per lot in the community covenant. Cool!

Joel Brown · Answer

@John Krasner I think that would make your mobile home park way more attractive to renters. Some parks wont need one because they maybe the only option anyways, but the cost of a pool divided by 100-150 lots makes it cheap and even getting an extra $25-50/month would pay for it less than 2 years.

John Krasner · Answer

I am going to build a community swimming pool for my mobile home park development. Seems like something that the community could use, and I hope that it will raise outer community opinions of the park as a whole.

Is a swimming pool worth the capital cost?

Most Popular Reply