For most homeowners, their house isn't something they consider an investment. It's a place of comfort and sentimental value where they can enjoy their days.
When it comes time to sell the home and their real estate agent recommends a far lower price than they expected, that all changes.
As wonderful as it is to enjoy your home for its comforts, always consider its financial value too. Certain improvements can not only help you love your house but strengthen your investment. One popular new addition that has this advantage is an outdoor covered patio.
The Value of an Outdoor Covered Patio
If you add a covered patio to your house, how much value can you expect it to bring?
Of course, there are countless factors that will have an impact. To be general, though, homeowners increase their value by around $10,000 with a deck and over $7,000 with a patio.
There is a critical consideration, though: most of the time, these additions cost more than the value they add. The advantage of your patio is that you can enjoy the new area of your home and then recoup most of the cost when you sell it. Chances are that you won't make a net profit on the renovation.
Factors That Affect Your Outdoor Living Space's Value
As we noted, the figures above are extremely general. Many factors affect the value of your outdoor living space.
1. Finishes and Amenities
It stands to reason that the nicer your patio is, the more value it will have. This doesn't mean you should go as upscale as possible on all occasions, though.
The key is to match the level of your outdoor space to the level of your home. For example, let's say you have a home that is in the luxury market in your area. You'd get the most value from an outdoor space that matches the home's luxury style.
If you have more of a starter home, an ornate patio will look awkward. Someone who wants a starter home will also want a starter home price. They won't pay the amount you wish you could get from that beautiful patio.
2. Your Real Estate Market
Every real estate market is unique in the types of features it values in a home. There's a reason you may see tile in so many upscale California homes while luxury houses in the midwest have hardwood floors.
The same is true with outdoor living spaces. Some housing markets value outdoor renovations more than others.
In general, consider the weather in your area. Do you live in a winter climate that only makes your outdoor space usable four months per year? You'll get less value than someone in an area with nine months of friendly weather.
3. The Functions of the Space
There are limitless ways to design your outdoor space. Some of those design options hold more value than others based on the functions they offer.
For example, a patio with relaxing lounge furniture could carry a nice value. A full outdoor kitchen and entertainment space, on the other hand, is far more valuable. The added functions give the next homeowner more ways to use the space so it becomes more valuable.
4. Your Weather Resistance
As we noted above, the more seasons that you can spend in your outdoor space, the more value it will have. The weather isn't the only factor to consider, though.
If you add features that make the space more comfortable in different seasons, it will bring more value. For example, perhaps you live in a climate with hot summers. Wet rated ceiling fans will cool the patio without getting damaged from every rainfall.
On the other side, if you live in an area with cooler weather, try an outdoor heater. One or two heating lamps can make a powerful difference in making the space more usable.
No matter what your temperature range is, it's a good idea to have a way to block rain too. Wall panels you can open and close at will could make your covered patio a great place to relax during a spring shower.
5. The Materials You Use
An effective outdoor space needs to have more than good looks. Future buyers will also take the materials and quality into account when they consider the space's value.
First, if your materials are high-quality, it adds to the upscale feel of the space. If you have a luxury home, this is an important factor.
Second, home buyers will consider how much maintenance the patio requires. If they'll be spending hundreds of dollars or hours and hours of labor to maintain it, it may not have the value to them that you would expect. Lower-maintenance materials will be more appealing.
Finally, buyers will consider how long your materials will last. Have you used materials that will stay in good shape for the next 20 years? Or will the homeowner have a patio that looks worn after two years?
Boosting Your Home's Value With an Outdoor Living Space
Your home is your castle, as they say. It should be a space that has all the features you want and enjoy on a daily basis. If that includes an outdoor covered patio, go for it.
If you make the right choices in your renovation, though, that new space can also add value to your home. To make the most out of your project, be sure to speak with a real estate agent in your area. They'll be able to advise you about the value you can expect and the most desirable features to include.
To delve further into your local area's real estate, check out our real estate reviews and more.