Does a Pergola Add Value to Your Home?

The first thing you need to understand is that there are two types of value when it comes to adding features to your home: personal value and resale value. Personal value is the value that the feature adds to your life. Resale value is the increase in price that the feature adds to your home when you go to sell it.

It's important to understand the difference between the two values, because they don't always align. Just because something adds personal value to your life doesn't mean it will also add resale value. In fact, sometimes things that add a lot of personal value can actually decrease resale value.

So, with that in mind, let's take a look at pergolas and see how they stack up when it comes to personal and resale value.

Personal Value

There's no denying that a pergola can add a lot of personal value to your life. If you enjoy spending time outdoors, a pergola provides a great way to extend your living space and enjoy some time in nature without having to deal with bugs or bad weather.

A pergola can also be a great place for entertaining guests. If you like hosting parties or gatherings, a pergola is the perfect spot for serving drinks and appetizers or even hosting a seated dinner.

Resale Value 

While a pergola may add some resale value to your home, it's important to understand that the return on investment (ROI) is usually not very high. However, in most cases, you can expect to recoup at least 50% of the cost of building a pergola when you sell your home. So, if you spend $6000 on materials and labor, you can expect the pergola to add about $3000 in resale value.   Of course, there are some cases you can get more in return. If you live in an area where outdoor living spaces are in high demand, you may be able to get a higher ROI. For example, in East and South Bay, where homes often have large yards perfect for entertaining, well-built pergolas can add as much as 80% ROI.

Ultimately, whether or not a pergola is worth it depends on your individual circumstances. If you're looking for ways to add personal value to your life, a pergola is definitely 100% worth considering. However, if you're solely focused on adding resale value to your home, there are other features that will give you a better return on investment.