Creating the perfect outdoor living space involves finding a balance between personal enjoyment and increasing your home’s value. While some renovations might not add much resale value, others can significantly boost it, especially if you’re planning to sell in the future.
If you want to enhance your home’s resale value, outdoor additions are a reliable option. From simple projects like adding a fire pit area to more complex ones like building an outdoor kitchen, here are 5 ideas to consider.
1. Curb Appeal
Curb appeal is crucial for making a positive first impression. The entrance of your home is often the first thing visitors and potential buyers notice. Whether it requires a deep clean or a more extensive renovation, enhancing this area can make it a more enjoyable space for you and increase your property’s value.
According to a report from the National Association of Realtors (NAR), the most significant return on investment comes from installing a new roof. However, even smaller improvements can be impactful. For instance, a steel or fibreglass front door can recover up to 63% of its cost. Additionally, investing in landscaping and lawn care not only creates a welcoming appearance but also offers an impressive cost recovery of up to 217%.
Enhancing your home’s entrance can involve various updates. Consider upgrading the lighting with wall-mounted fixtures or under-stair lighting for a stylish and functional touch. Adding new furniture or landscaping around the porch and walkway, including a bit of new painting can also significantly improve the overall look.
2. An Outdoor Kitchen
In regions where outdoor living is a year-round activity, adding an outdoor kitchen can be a wise investment, significantly enhancing your home’s value. According to the National Association of Realtors (NAR), homeowners can recover 100% of the cost when they add a kitchen to an outdoor area.
Outdoor kitchens can range from simple and affordable setups to luxurious and expensive installations. Before deciding to add one to your backyard, consider the other homes in your neighbourhood. The return on investment (ROI) might depend on how common outdoor kitchens are in your area and whether they offer a competitive edge when selling your home.
The cost of an indoor kitchen typically ranges from $20,000 – $40,000. In contrast, outdoor kitchens have an even broader price range. Prefabricated layouts can start at around $5,000, while fully customized designs can reach up to $100,000. Given these costs, it’s essential to conduct thorough research before making a commitment.
When planning your outdoor kitchen, consider your budget, the climate, and how often you will use the space. A basic setup might include a grill, countertop, and storage, while a more elaborate design could feature a sink, refrigerator, and even a pizza oven. Opting for durable, weather-resistant materials will ensure your kitchen stands the test of time and provides a good return on investment.
Ultimately, an outdoor kitchen can enhance your lifestyle and add significant value to your home, especially if outdoor living is a prominent part of your local culture.
3. A Patio With a Pergola
Creating a well-designed patio area can significantly boost your home’s resale value. This involves more than just laying down a few pavers and planting some greenery; it means creating an outdoor “room” that feels intentional and inviting. Adding a pergola not only provides partial protection from the elements but also offers a structure for climbing plants or fabric covers for additional shade.
The cost of building a pergola can vary based on materials, size, and whether you choose to DIY or hire professionals. On average, installing a pergola costs around $5,000, and it can add substantial value to your home. Homeowners typically see a return on investment (ROI) of 50% to 75% with this addition. The National Association of Realtors (NAR) also notes that adding a new patio is a wise investment, with projects typically recouping 95% of their costs.
A standard ground-level patio can cost up to $5,500, but more elaborate and customized designs with multiple features can cost as much as $20,000. This kind of outdoor upgrade not only enhances your living experience but also adds value when you decide to sell. A well-planned patio can increase your home’s selling price by up to $25,000.
Overall, a patio with a pergola is a worthwhile investment. It creates an attractive and functional outdoor space that you can enjoy while also increasing your property’s value.
4. A Pool
Adding or renovating your pool in your backyard can instantly transform the space and increase your home’s value. Whether it’s a large lap pool or a small soaking pool, this feature enhances your property’s appeal and can raise its market price.
A pool creates a visually attractive focal point and promotes a sense of well-being for residents. On average, homeowners see a 7% increase in their home’s value after installing a pool, although this comes with initial costs for both installation and maintenance.
In-ground pools are particularly effective at adding value. They typically cost around $35,000 to install and can increase a home’s value by 5% to 8%. In contrast, above-ground pools are more affordable, starting at about $750, but they generally do not boost property value, despite enhancing backyard aesthetics.
When considering adding a pool, it’s important to evaluate your budget, local market trends, and how the pool will be used. A well-maintained, in-ground pool can be a worthwhile investment, offering both enjoyment and financial returns.
5. A Designated Fire Pit Area
Adding a designated fire pit area to your backyard is a smart investment that enhances both usability and attractiveness. According to a 2023 report from the National Association of Realtors (NAR), homeowners can expect a 56% return on investment (ROI) for fire features. Rachel’s perfectly proportioned fire pit area, as seen in the photo above, exemplifies why this addition is worthwhile.
A fire pit creates a cosy and inviting atmosphere, making your backyard a more appealing place to spend time. While the fire pit and furniture don’t have to be permanent, having a designated area adds value to your home and appeals to potential buyers. This space can also be repurposed in various ways, such as a water feature or container garden, offering customization options for future homeowners.
Incorporating a fire pit area into your backyard design not only enhances your living experience but also boosts your property’s marketability. Whether you’re entertaining guests or enjoying a quiet evening outdoors, a fire pit area provides a functional and attractive feature that increases your home’s overall appeal.
Final Thought
In addition to the five options we’ve discussed, there are many other outdoor additions that can increase your home’s resale value. To choose the best one for you, consider your budget and time constraints. Even small changes, like adding new plants and flowers, can make a big difference in your yard. Pick a project that fits your situation, and you could create a lovely outdoor space that enhances your enjoyment and boosts your home’s value when it’s time to sell.