A Worthy Investment: Does a Deck Add Value to Your Home?

 

A deck can be the jewel of any backyard and it may just add more than aesthetic or functional value to your home. 

Not just the kind of value that invests countless memories enjoying sunshine and fresh air with family and friends. And not only the kind of ornamental value that makes you the envy of your neighbors. 

Are we talking about adding the value of real estate appreciation?

Deck yes! 

Read more to find out how investing in your home’s value may be your best new excuse to build a new deck.

Table of Contents

• How Does Building a Deck Add Value to Your Home?
• Is a New Deck a Good Investment?
• When Deciding How Much Value a Deck Adds to Your Home, Consider the Materials
• Important Things To Note About Adding a Deck to Your Home To Increase Resale Value
• Three Rivers Custom Decks: Building High-Quality Decks To Help Add Value to Your Home

How Does Building a Deck Add Value to Your Home?

Homes generally increase in value over time, but supply and demand are major players in appreciation trends. As the housing market increases in demand, a shortage is generated which causes the value of houses to skyrocket. 

Basically, the real estate market rides on the waves of the economy where supply and demand rule the tide — but home improvement can also work in your favor. 

When you make improvements to your home, it may lead to an increase in its value. Whatever makes your home more attractive, functional, and safe will help your house sell for more on the market. While certain additions may increase the value of a home, some may lower the property value. 

One valuable function of a deck is that it boosts livability. It is unlikely that you would add a deck to your home purely for financial gain, but making additions that enhance comfort may increase the personal and monetary value of your home. 

How Much Value Does a Deck Add to Your Home?

Building a new deck is generally considered a capital improvement. A capital improvement is a permanent alteration or structure that improves your home so substantially that it raises its value. 

According to the 2022 national cost vs. value report from Remodeling Magazine, investing in a 16-by-20-foot deck may increase your home resale value by 65-75%. 

Factors that can influence how much value a deck adds to your home include:

• Building materials
• Size
• Type
• Location

Is a New Deck a Good Investment?

Your home may be one of your biggest investments. You can even recoup the cost of your deck when or if you sell your house.

Remodeling can enhance the return on investment (ROI) of your home. ROI is the measurement of the value and efficiency of an investment. So ROI measures how much cost is recovered from a remodeling once the house is sold.

A study completed by the National Association of Realtors on the impact of remodeling found that a new wooden deck can have up to an ROI of 106%. On average the ROI of most decks hovers around 80%. 

While a well-built deck may be a good investment, not all decks are created equal. How your deck is built may determine if a deck will increase the value of your home.

Factors that could lead to your deck decreasing the value of your home may include:

• Poor craftsmanship
• DIY jobs
• Low-quality building materials

4 Reasons Building a Deck Adds Value to Your Home

#1: Boosts Appeal

Naturally, the law of the market is: the more appealing the house, the higher the resale value. And the more appealing the deck, the better the ROI!

Buyers are often swayed by the curb appeal of a house. Curb appeal is the attractiveness of a property and its surrounding areas from the view of the street. While not every deck can be seen from the street, decks are sometimes considered to be a part of curb appeal. 

According to a Michigan State University study, curb appeal may increase perceived home value by 5-10%.

#2: Increases Usable Space

Homes are often priced and valued by the livable square footage that they contain. When done correctly, a deck can add more square footage to your home, therefore increasing its value. 

A deck expands the amount of space you have to:

• Entertain guests
• Spend time with family
• Decorate
• And more

A deck is one of the more cost-effective ways to increase usable space without breaking the bank. 

The average cost of a new deck is $7,500, and they generally range from $4,000 to $11,000 to build. The most common home additions cost anywhere between $21,000 and $73,500, with the average cost being $46,000.

#3: Keeping Up With the Joneses

If everyone in your neighborhood has a deck but you don’t, this could affect your resale value. 

According to a 2021 Homelight survey, outdoor living areas are ranked as one of the top priorities for homebuyers. So if all of your neighbors have an outdoor living area that you do not, your home may not be valued the same, possibly lowering its potential resale price. 

#4: Safety Precautions

Adding a deck to your backyard could be an easy fix for uneven ground. If you have a backyard that overlooks a hill or a significant incline, a deck may allow you to safely enjoy your backyard.

Decking may also make your above-ground pool safer. Having a deck attached to your above-ground pool can allow for easier pool access and let you see swimmers better. If you have young children, a safety gate can be attached to restrict unsupervised access. 

While a deck may increase the safety of your backyard, it can also decrease it. Improperly built decks can increase the risk of injury due to collapse. This is why it may be important to skip to DIY and entrust your new deck to the skilled hands of a professional. 

Three Rivers Custom Decks is the Pacific Northwest’s premier decking company. Our highly trained builders are continuously studying new deck-building techniques and trends to enhance the visual appeal and safety of your outdoor living area. 

 

 

When Deciding How Much Value a Deck Adds to Your Home, Consider the Materials

Maybe you’re already sold, or maybe we have you convinced. Either way, you’re in the market for a new deck.

So what kind of deck materials will add the most value to your home?

The materials decks can be made with include:

• Wood: This is the most common deck material. Wood decks do require more maintenance than other deck materials. The durability of a wooden deck can be anywhere from ten to thirty years if properly built and maintained. Wooden decks also yield the highest ROI at an average of 70%.
• Plastic (PVC): A deck built with PVC may hold up longer than a composite or wooden deck because PVC decks are low-maintenance and invulnerable to rot or weathering. While this option may be the most durable, it is also the most costly and least eco-friendly option. 
• Composite: Composite decking boards are generally made with plastic, additives, and wood particles. This building material lasts longer and requires less maintenance than wood. The average ROI of a composite deck may be 10-15% lower than the ROI of a wooden deck.

Important Things To Note About Adding a Deck to Your Home To Increase Resale Value

The value your deck adds to your home may vary due to:

• Location: Your location may affect the ROI, the cost of materials and labor, and the material and structure of your deck.
• Construction: Poorly constructed decks may lower your home’s value and expose you to fines. Structures that are not built to code or built without permits may need to be removed even after construction. You may want to avoid DIY jobs and suspiciously cheap contractors.
• Building costs: Higher building costs may impact the ROI of your deck. Building costs like labor and materials may vary depending on your location. 
• Demand: In areas like the Pacific Northwest, the demand for decks may be higher due to the temperate climate. 

In your search for the perfect deck to add value to your home, remember that how your deck is built may matter just as much as what it is built with. 

Three Rivers Custom Decks has extensive experience with wood. From mahogany to cedar, we’ll help you find the best materials for your deck. 

 

Three Rivers Custom Decks: Building High-Quality Decks To Help Add Value to Your Home

Whether you’re looking to build a deck to improve your home for comfort or resale value, you need a deck built and someone to build it. 

At Three Rivers Custom Decks, we prioritize craftsmanship and materials. For nearly 15 years, we have provided the Portland area with high-quality decks using the highest quality of materials. 

The outdoor building services we provide include:

• Outdoor living areas
• Decks
• Stairs
• Railings

So let’s work together to build you a deck that adds value and quality to your home. Give us a call to schedule your no-obligation consultation today.