Should I stay away from homes with pools? Potentially house hacking a single family/rent by the room(also looking at small multifamily properties). Continually getting leads and analyzing those leads. I'll be living there for at least a year and curious if anyone has considered this or if pools are just a Taboo topic when it comes to rental real estate. I would imagine this would increase insurance premiums not to mention the added maintenance costs. Any thoughts on this? Thanks!!
Houses with pools in Texas typically do really well since it's pool weather for most of the weather. If overall the numbers look good on this property and it will cash flow month to month, don't turn it out due to the pool. Hope this helps.
@Kyle Cooper If you like pools, add approximately $200-$300 per month for additional maintenance and utility bills, plus a higher insurance premium. If your numbers still work, pools can be an attractive feature and could fetch higher rents.
Most investors don't like homes with pools. More liability, more insurance costs, more expenses. Rarely do tenants keep them up the way you would, so then you have to think about if you want to pay for pool service to keep them in good shape and if you can recover that amount in rent increases?
@Kyle Cooper I won't ever own a home with a pool unless I'm grown with a wife and kids and we are all able to enjoy it to where the opportunity far outweighs the cost. I'll never own a rental with one - personal preference. Too much maintenance - and think.. your tenants don't take care of the property like you would, they are likely not going to take care of the pool AND you will be in charge of the cost of maintenance as well.
Thanks @Marlen Weber that's kind of what I'm thinking. There's so many properties I'm finding that would work and many of them have pools. I'll have to weigh my options as I move closer to my target date for buying. Thanks so much!
@Ryan Kelly That's a great idea and will definitely consider it if I end up going with a pool. I'm finding a lot of homes available in Dallas county with swimming pools, all with the numbers fitting my criteria as well. Thanks for the advice!
@Bruce Lynn @Kenneth McKeown I assumed by asking this question that many investors would have these types of answers, thanks for clarifying! I'm only considering homes with swimming pools because I plan to house hack this first property and will be living there for at least one year. I understand the added risk, which is why I'll most likely stay away from them. With that being said, if the numbers work with my criteria, and a pool increases the rent over time as well as the likelihood of it staying rented, then I may consider it. Thanks for taking the time!
Pools only make sense for houses that don't make sense as rentals.
My pleasure. Keep us posted on your journey.
@Bruce Lynn and @Ryan Kelly are on the money. One of my client's homes has a decent sized swimming pool. I just got quotes for pool services from a dozen companies around Keller and DFW and they're all $150-200/month for cleaning services.
Tenants aren't going to take care of a pool - and you don't want them to! Too much that can break. I think it only makes sense if the overall deal makes sense. I don't think a pool should be a deal break or maker. Since this is an investment for you, I think lean towards deal breaker than maker. Here's why:
There's pros and cons of each scenario when it comes to having tenants in there.
Having a pool Pros:
You have a POOL while you live there.
Attractive to tenants who want it.
Expensive to maintain - can push tenants away who don't have the extra money and you certainly don't want pool cleaning coming out of your monthly rent.
Liability - HUGE liability. Write off anyone who has young kids or pets who could drown unless you have a legit pool fence around it and even then... liability.
As much as I LOVE pools, I think the liability and maintenance costs outweigh the marketability of a home with a pool for an investment scenario.
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