I'm talking things like what you'd see being built by Foxterra or something designed by luxury landscape architects like Michael Glassman and other luxury backyard design and build companies.
Obviously it is market specific but when someone is investing hundreds of thousands of dollars to completely transform their backyard with custom pools, fountains, fire pits, saunas, hot tubs, greenhouses, pergolas, sheds, etc. how much of that actually translates to an increase in home value?
Has anyone ever had a full backyard transformation and did it drastically increase/decrease the ease of selling and/or the value? Or did anyone buy a home with a completely design property and did you pay more or try harder to purchase the home than other comparable homes in the same area?
A couple representative videos: https://www.youtube.com/watch?v=gGMQiYIsghI
https://www.youtube.com/watch?v=zma1Uun6yU4
by Amateurgarden
12 Comments
Just a reminder that pools are usually a low ROI.
But that said high QoL for those that like pools. For most people pools are like a collectors car. Rarely used just pretty to look at and if maintained well high satisfaction when you take it out for a joy ride.
Areas where the climate supports it will do better with ROI than areas that have weather extremes.
Now luxe building makes little to no rational sense with finances at the majority of times. You are often speaking to the soul of the buyer through curated story telling with a high effort design experience. To some that’s worth full ask, for others that’s worth nothing or sometimes less than nothing.
A larger portion of buyers will be turned off than turned on to the maintenance requirements. Some high end designs can cost as much monthly as the mortgage in maintenance expenses.
Some of the designs can add more experiences than just a pool, with outdoor entertaining spaces including pitch and puts, putting greens, bowling, fire pits, outdoor kitchens and bars etc. That’s a nice “curated experience” but once again often a turn off to anyone that isn’t the home owner that designed it around their desires.
But they are pretty in picture and in video. I would guess on average they get 50 cents on the dollar ROI in most parts of the country for the average sized home. Larger homes with acreage they probably see higher figures.
Good landscaping design on the other hand is usually pretty high ROI . Mostly because trees and plants gain value as they reach maturity. That and they truly look amazing when finished.
If I were disgustingly wealthy, I’d pay hundreds of thousands for a luxury nature reserve instead of this. Like turn my yard into an avante garde smorgasbord of native hyper-local plants. Birds should be gossiping to each other about The Garden of Eden, I want to be personally responsible for pulling a random species from the brink of extinction, and I want it to look like you can’t afford it
But maybe I’m the wrong demographic. The greenhouse in the first video is pretty
Depends what you mean by luxury yard. But I think all that individual craps that somehow has put in the back from a pool to a barbecue and specialty terrace could easily backfire because it’s so individual
But good landscaping in the front of the house, good privacy screening, always smells money just when you pull up to a house if it’s done well. Not the McMansion crowded crap up against the foundation kind of planting, but really thought out and really planned especially with proper screening so you have privacy even in an urban situation. can always tell If you’re in the high price spread, not simply by the houses cuz sometimes they may be modest, but by the landscaping how lush ingredient is to the street
> hundreds of thousands of dollars
So we’re talking multi million dollar homes?
If so I would was told by a realtor once that many of those homes get a lot of renovation work done regardless. So I’m not sure people really value the previous investment.
Certainly it doesn’t “pay” to do it as in you get your money back in equal home value, land I doubt they see much return at all.
As someone who is in the middle of a total yard renovation, with extensive construction and planting, I don’t think we will ever get back close to the $$$ we are spending. But we are doing it for ourselves, for our own enjoyment, not for the next owners!
You can find most of this information pretty easily if you search the National Association of Realtors website.
They put out reports like this all the time, [here’s](https://www.nar.realtor/newsroom/in-the-news/11-landscaping-projects-that-can-boost-your-homes-value-better-homes-gardens) an example.
We paid a premium for a house with mature foundation plantings and a paver patio etc. but then the appraisal came in 20k under our offer – we ended up negotiating with the seller and we met in the middle. That could be a factor though – I as a buyer saw value but the appraiser didn’t factor it
Unless somebody is wealthy enough to pay for a landscaper, enjoys and has enough time to maintain a luxury landscape I think it’s a negative return. I see a lot of people that will not even bother to mow now a days. Whether it’s more stress and longer hours to make the financials work or people would rather be in inside I’m not sure.
See tax code for home office, for business parties
In my view (was a broker for 30 years) landscaping probably has some of the best ROI, if done right, of any investment. Why? The old saw “first impressions” comes into play. In my humble opinion, a good first impression helps blur any interior shortcomings at least to some degree.
Sadly, so few mainstream (middle class or below) homes have had much if any attention to the landscape. Or, if they have had attention it was from someone with attention deficit disorder.
What most people want are variations on a theme of standout design, low maintenance, low water use, native plantings, pollinator-friendly and complimentary to the structure and neighborhood.
It depends on the neighborhood. If the area is beautiful and landscaped, you’ll attract people who will pay top dollar for your renovation if it’s good. If you live in a working class or sketchy neighborhood, you won’t get much out of a beautiful yard or house since people with money will avoid your area anyways.
Plant as a master Gardner, not a Home Depot contractor special.
People with money looking for character look for that, not a bullshit empty canvas filled with generic shit they have to pull and redo anyway.
Taste isn’t bought, it’s learned.