How do pools factor into a Long Island home's value?

While remodeling your home is considered by many to be one of the best ways to improve its value, you should think twice before investing in a pool because the value it adds may not be worth it, warn Long Island real estate experts.

Since 2003, in-ground pools have returned on average just 8 percent of their initial investment in added property value, according to a National Association of Realtors report. That amount can vary widely by location, though. Southern states had returns of up to 45 percent in locations such as Fort Lauderdale while Boston pool owners lost an average of more than $15,000 on their investment, according to a study by real estate website Redfin.

Long Islanders may still wonder about the return on investment for their pools. The study excluded locations such as New York where pools are not common enough to provide accurate statistics. Like the rest of the nation, the answer depends on location.

Classic suburbs

In neighborhoods such as Levittown, Plainview and Hicksville, where lot sizes average less than a quarter-acre, pools are not standard, says appraiser Howard Morris of Hauppauge-based Rogers & Taylor Appraisers. Adding one can actually lower a home’s value, he adds.

The buyer might see an 80 to 85 percent loss on the value of their pool, depending on its age and condition, and sellers in these areas sometimes must remove their pool to attract a buyer, says Morris.

In addition, pools can increase property taxes by $1,500 to $2,000 per year, and the added upkeep and insurance often pushes that total annual cost to tens of thousands of dollars, Morris says.

Buyers often do not want the added financial burden, Morris says, although it’s not just fiscal concerns impacting buyers’ decisions. Concerns about children’s safety and practical land use on small suburban lots also play a part, says Jonathan Miller, president and chief executive of Manhattan-based appraisal firm Miller Samuel.

Water towns

In neighborhoods where many homes come with pools, including Freeport, Long Beach, Brookville and Muttontown, missing one might make a house unsellable, says real estate agent Malakei Graham of Fave Realty in New Hyde Park.

Even so, adding a pool would likely add only a marginal amount to your appraisal over the amount that you spent to install it, Miller says. “It is a personalized amenity with a specific audience. I do not think buyers would pay a premium, but they might be drawn to it,” Miller says. “There are no hard and fast rules.”

Even in pool-popular locations, extra amenities such as waterfalls and heating overimprove the property and fail to add value, says Graham.

“Build what is appropriate for the property,” suggests Sarah Hagan-Doud of the Bridgehampton office of real estate firm Saunders & Associates.

Luxury properties

The Hamptons, though, is a strong exception. Among many luxury communities, a pool is a must, and depending on its qualities, it can add major value to a home beyond the investment, says Hagan-Doud.

There, a home rental with a pool can bring in an extra $10,000 in rent for a single summer, she says.

Luxury homes for sale with upscale or specialty features can add significant value, says Hagan-Doud, citing popular features such as extra seating, sand-and-cement based pools, and multiple pools.

Other popular amenities are free-form stone formations, waterfalls and spas, Morris says.

“If you do not have a pool [in the Hamptons], it is absolutely going to be a detriment to the money you can get; and the more luxurious, the more money,” he says.

A feature, not an investment

Unless you live in a luxury community, the choice to add an in-ground pool is often a loss or net-zero — so make it a personal choice for your own family’s needs, says Miller.

“Do it only because you want it, not because it is an investment,” says Morris.