Landscaping Rate of Return
If planned well and professionally installed, a new landscape design could bring 100% - 200% returns on the investment. This statement is backed by many reputable sources inside the real estate community. Curb Appeal is another one of many benefits that a fresh landscape project will bring.
The return on investment is contingent upon the quality of the landscape installation.
A recent “Smart Money” article stated that landscaping could add up to 15 percent to a home’s value. National Association of Realtors President-Elect, Walt McDonald of Riverside, Calif., was quoted in the article as saying, “When people ask me how they can get strong interest in their property, I always tell them to fix up their landscaping.”
Dave Middleton, of Coldwell Banker Burnett in Stillwater, Minn., agrees. “First impressions go a long way and landscaping is part of the first impression,” Middleton said. “Average returns can be upward of 100 to 200 percent -- if you invest $1,000 in landscaping, you can get double back.” Choosing to do nothing or allowing shrubs to become overgrown, which blocks out natural sunlight and obstructs the exterior of the home, can negatively affect the price of a home.
Take the example of Minneapolis resident Rich Goldsmith, who bought his home two years ago. After spending about $2,000 on landscaping projects, he added approximately $10,000 to his home’s value, according to his appraiser. This means Goldsmith will get back about five times more than his investment.
More Than Curb Appeal
Curb appeal is the attraction to a home from the outside. Many factors contribute to a winning curb appeal, such as fresh paint, healthy manicured shrubs and trees, and the lack of clutter. However, one of the most effective ways to increase the resale value is through landscaping.
Great Investment Ideas• Attractive Entryways – hardscape pathways and soft lighting can enhance and bring warmth to any home’s main entrance day or night.
• Raised Planting Beds – in rock or gravel yards, raised plant beds add interest and color to a low maintenance design that will last for many years with little water.
• Retaining Walls or Terraces – Tame sloped areas in the yard by adding a terrace wall. Retaining walls have many benefits including erosion control and making use of unusable land.
• Patios and Outdoor Rooms – Outdoor seating can take a whole new meaning when you add an outdoor room to your home. Your home begins to transform from a house to a lifestyle.
• Outdoor Fire Pits – Speaking of lifestyles… Who wouldn’t want their very own fire pit? It would be wise to check with your local fire department for fire safety codes first, before making this investment.