How much does a new deck add to the value of your home?
Although there are many ways to improve your home, adding a beautiful outdoor deck allows you to host events and spend quality time with your friends and family. A deck improves your home’s aesthetics and outdoor décor, making it more appealing to your family, friends and others. So, does a deck increase the value of a home? Keep reading to find out.
Does it add value? And if so, how much?
How much value does it add?
A deck can significantly increase the value of your home. The average cost of building a wooden deck is $13,000, with a resale value of $10,080, implying that you can recoup approximately 75% of the total cost after selling your home. Similarly, the average cost of building a composite deck is $19,150, with a resale value of $13,000, allowing you to recoup 69.1% of your investment. Valor Home Services suggests re-staining your deck every 2-3 years to keep it looking good. Although annual maintenance will cost you around $700, it will keep your deck functional for a long time, resulting in higher ROIs. Unlike other home improvement projects, such as a backyard patio or midrange bathroom construction, adding a deck can sometimes result in an 85% ROI, depending on the quality of the living space.
Does it expand the square footage of your home?
Many people believe that an outdoor deck is an extra bedroom where they can rest and relax. Although this is true to some extent, a deck expands your outdoor space and significantly increases the resale value of your home. Adding a deck to your home is a low-cost way to increase the square footage of your home. For example, the average cost of constructing a new 20X20 square-foot room ranges between $32,000 and $80,000. A 20X20 deck, on the other hand, costs between $12,000 and $60,000 to build, making it a more affordable way to increase the value and square footage of your home. A 20X20 deck not only adds 400 square feet to your home but also allows you to spend more time outside with your friends and family, making it a win-win situation.
Does composite or natural wood make a difference in value?
Wooden decks are less expensive than composite decks and have a higher cost-to-value ratio. The national average construction cost for a mid-range deck (16-by-20-foot deck) made of composite material was $17,249, which increased a home’s resale value by $11,252, for a 65.2% cost vs. value ratio. The average cost of a mid-range wooden deck was $10,707, with a value added to the home of $7,652, for a cost vs. value ratio of 71.5%. More expensive decks recovered less in terms of recouping construction costs. The average high-end composite deck cost $39,339 to build, which increased the average home sales price by $22,171, but the cost vs. value ratio dropped to 56.6%. Decks recovered more of their costs in regions where outdoor living is more popular. Cost vs. value ratios for a mid-range wood deck, for example, ranged from 81.8% in the Pacific region to 81.4% in the Mountains vs. 56.9% in the East North Central region (upper Midwest).
A deck can be transformed into a romantic area with a cool tub for those hot evenings, a dependable outdoor kitchen with a built-in bar and grill, a living space with decorative table and chairs, and a perfect space for doing your nails and soaking up the sun, or an area with a flat-screen TV to watch your favorite shows or movies. Whatever your dream deck is, it is well worth the investment due to the increased ROI. If you want to build a long-lasting, aesthetically pleasing, comfortable, and cost-effective deck, call Valor Home Services today. We are a professional company with a team of licensed, experienced, and skilled workers who construct a usable living space in a step-by-step process.