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To restore pool or fill it in
I recently purchased an investment property in Montgomery, AL—a 5-bedroom property close to a major hospital in the area. It has an inground pool that I was initially set on filling in. However, lately, I've been researching co-living and short-term rentals, and I believe the property would be more attractive with a restored pool. Considering I'm over 6 hours away, I will likely need to invest in a pool maintenance service to clean the pool weekly. Do you have any solutions or similar issues you've faced, and how did you resolve them?
Congratulations on the new purchase!
My first question would be, how much will it cost to restore the pool? In my area, homes with pools tend to sell much quicker and at a higher price per square foot. Additionally, they can command a premium for short-term rentals.
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At max 10k, I think my biggest issue is the maintenance upkeep
Quote from @Najeh Davenport:
At max 10k, I think my biggest issue is the maintenance upkeep
Maintenance is relatively inexpensive. I pay $100/month to have my pool maintained in Florida. That includes weekly cleaning, chemicals, flushing of filter when it needs it, topping off the pool, and my people clean the pool deck when it needs it. They charge parts only if they do something during normal rotation, or change the pool filter.
that's good to know, I hope I can get those same prices in Alabama
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Also contact your insurer and ask about the cost to insure the pool as a rental. This could get expensive.
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As you decide, bear in mind that you can't just 'fill in a pool'. You need to pull a permit, then the Contractor has to take down the coping and bond beam a couple feet, then core holes in the pool floor (so it wont ever popout of the ground). Then bring in tons of fill dirt and compact it, with inspections along the way.
This can cost $5-10k, so I'd just put those same dollars into turning it into an asset.
@Najeh Davenport I had a pool for a 5-unit complex and went through same decision process as you. I kept the pool, but after 8 yrs decided it’s better to fill it in. I had professional pool maintenance over the years, but that is not your only cost.
You may require annual permits and inspection due to pool being commercial. Pumps break, lights break, and keeping the deck and any deck furniture cleaned also carries costs. Don’t forget monthly electric costs to keep the recirculating pump on, and water costs to maintain proper water level.
Pools are cost efficient above 20 units, but under 20 it’s often better to just fill it. Turn the space into a leisure common area with bbq area and fire pit and you likely won’t see much loss in rent or turnover time. It’ll be a 1-2 yr payback on the conversion cost, or even less if you need to restore the pool in the first place.
Quote from @Benjamin Aaker:
Also contact your insurer and ask about the cost to insure the pool as a rental. This could get expensive.
definitely didn't think about this. I will put a call in tomorrow for the insurance quote!!!!
I’d fill it in. That will save you a lot in the long run. I don’t think you’ll get much higher rent with a pool.
I can’t speak on behalf of a short term rental, but for a straight rental, you’re probably better off filling it in IMO.
I had a house with a pool in an c+ area and after considering it will probably just invite parties, etc. plus the liability I had it filled in.
@Najeh Davenport I had a pool at my bed and breakfast for 14 years. Occasionally, like maybe twice a season a guest would go out and read in the lounge chairs on the deck. I think less than 5 times in 14 years someone swam.
As a commercial operation I had to keep a log of maintenance and was constantly worried about state inspections because a lot of the time we really weren’t in operation but for the state inspectors you were supposed to be available from 8am-5pm everyday of the season.
It didn’t make my insurance much more expensive but it did have to be covered by the commercial policy.
When I sold the building the new owners immediately filled it in and made a lovely yard and never looked back.
If I were you I’d write down a list of potential pros and cons and then make my decision.
I would also vote to fill it in. I have a local guy that can do it for around 8k, if the pool is accessible with his equipment. He fills in about 80 pools in MGM every year.
Also, I do have a STR with a pool at the beach. But, that is a different situation. It is always families on vacation, so the pool is a big bonus. We pay $250/mo for maintenance. The pool pump running will add about $15-20 every month to your power bill. Have cameras so you can prove who throws beer bottles and chairs in the pool. Insurance will require a self closing gate, but the guests will always prop that open. Then the neighbors kids will have pool parties when there are no guests there.
Quote from @Alecia Loveless:
@Najeh Davenport I had a pool at my bed and breakfast for 14 years. Occasionally, like maybe twice a season a guest would go out and read in the lounge chairs on the deck. I think less than 5 times in 14 years someone swam.
Thanks for the info
As a commercial operation I had to keep a log of maintenance and was constantly worried about state inspections because a lot of the time we really weren’t in operation but for the state inspectors you were supposed to be available from 8am-5pm everyday of the season.
It didn’t make my insurance much more expensive but it did have to be covered by the commercial policy.
When I sold the building the new owners immediately filled it in and made a lovely yard and never looked back.
If I were you I’d write down a list of potential pros and cons and then make my decision.
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#4 Short-Term & Vacation Rental Discussions Contributor
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If you go short-term rental, I would 100% fix it to use for guests especially if it is only $10,000 like mentioned in the post above. The cost to fill will end up being the same. Insurance is something to look into as stated but the increase in revenue will be tremendously higher in AL with a pool for STR compared to none. It will have its costs though
That what I was thinking, or co living. Im really excited about both.
So I think it really depends on the area you are in and what the demand is for STRs. I have a STR in Washington state with an inground pool at it is 100% worth the cost and upkeep to have a swimming pool. My STR is booked more and I can charge a premium that offsets the cost of maintenance. I guess it also depends on the overall condition of the pool. I started my STR with my Pool as is and this year added a Pool Heater (unfortunately the pool is only operational during the summer months).
The only other thing to consider and it really depends on the condition of the pool, you could possibly delay on restoring it for now. I started my STR without a pool heater and added that after generating some cash flow, but again that really depends on the current condition.