by jason_cramp | September 29, 2017 12:30 pm
Whether for friends and family paying a visit, a stranger walking their dog down the sidewalk, or prospective buyers, the way a house looks from the street plays a vital role in its curb appeal. As they say, first impressions are the most lasting.
A finely manicured and well-maintained front lawn is much more pleasing to the eye than a weed-infested disaster that could use a good mowing, a few treatments of fertilizer, and some backbreaking maintenance. In fact, this sentiment is also spreading into the backyard, as homeowners are taking maximum advantage of the living space on their property by adding outdoor rooms (e.g. kitchens, living rooms, and entertainment areas). That said, having a lawn that resembles a fairway at a country club is just basic level; where a home’s curb appeal gets serious attention is when a professional landscaper is employed to create something truly unique and beautiful.
Whether a home has a stunning backyard oasis or an inviting front garden and entranceway, it has long been accepted in the real estate industry that a creatively designed and well-maintained landscape adds significant market value to a property.
“Simply edging the beds, mulching the gardens, and pruning the trees and hedges, a landscaper can take a house that looks rather ratty to one that looks great and will attract potential buyers,” says David Wright of Wright Landscape Services in Waterloo, Ont.
“Any type of landscaping will increase the real estate assessment, in addition to the experiential and esthetic value for the potential buyer.”
While a landscape project can take anywhere from a few days to a couple of months to complete—depending on the complexity—the professionals preparing the drainage, reshaping the earth, laying the stone, building the decks, and mapping out the various elements know they are not just providing a short-term service that meets the trends and styles of the time. They are helping their clients increase the value of their property and contributing to the success of their long-term financial goals.
The challenge for those in the landscaping profession is putting a fine point on the positive gains in home value that come with investing in a professionally landscaped yard. Homeowners want assurance they will get a proper return on investment (ROI); and landscapers are left with vague answers when they should have a major selling tool.
“Economically, general landscaping can result in a huge increase to the value of a home,” says Paul Brydges of Brydges Landscape Architecture in Guelph, Ont. “For example, if a client invests $20,000 into a front yard renovation, they can easily double that upon selling their home.”
Simply engaging in the discussion about ROI—despite the lack of concrete answers—is effective for building trust between the client and the contractor. This is an invaluable commodity and the foundation of all strong business relationships.
Initially, it is not unusual for a client to have a long list of things they want done to their property. Some examples may include:
These projects can get expensive and, at times, the homeowner has to decide if the investment is being made for monetary gain or personal benefit and use. It would be unscrupulous to proceed without full disclosure to the client. Providing advice on what is possible and what will make the most sense in terms of the value of the client’s property is a key part of a landscape designer’s job.
“When someone has a beautiful front entry it says the home is inviting; if there is living space in the backyard, it is the house people want to visit,” says Wright. “When you are selling a home, there is way more value in these features as opposed to a house that does not include these amenities.”
A 2001 study by the University of Laval advises the cost of a landscaping project should not exceed more than a quarter of the home’s overall value. If the project can stay under that threshold, the likelihood is high the client will be able to recoup their investment, even if the real estate market is soft.
This calculation is roughly based on another study by Virginia Tech University in the late ’90s, which estimated a professionally landscaped yard that is subsequently well maintained could add 30 per cent to the property value. With a sophisticated design, and the maturing and growth of the plants, this figure could climb above 40 per cent.
That said, it is not just homeowners who need to be sold on the value of investing in landscaping. Quite often, landscaping architects deal directly with real estate agents who are looking to clean up the exterior of a house that is about to be listed, and it is not uncommon for them to be shocked at the quote to perform the work.
“We discuss a project’s ROI with all of our clients to ensure they understand,” says Wright. “Putting $2,500 into a property can add $20,000 to the selling price.”
However, the current state of the real estate market has made potential homebuyers reconsider and instead invest in their existing property.
In fact, Wright recently worked with a client who was planning to move; however, they had difficulty finding another property they liked in their price range. When they found a home that included most of the things they were looking for, it required expensive upgrades that were more than they wanted to spend. Ultimately, they decided to stay put and invest in their current home by adding a pool with a water feature, screening for privacy, a patio and firepit, and a rebuilt play structure for their kids, which was incorporated into the side of a slope with a rock climbing wall.
“Recent real estate trends have made it tough for buyers to find what they want at a price point they can afford,” says Wright. “We are seeing more people choose to invest in upgrading their existing homes rather than pick up and move to something new.”
Many clients come to a landscaper with their immediate lifestyle needs in mind, and little thought is given to future needs in terms of what a particular project could do for their listing price should they decide to put their house on the market.
This is not entirely a bad thing, says Brydges. While there may not be monetary resale value in the home, there is intrinsic value in the enjoyment they will get from creating memories with family and friends while using their newly landscaped yard.
Every year, Brydges’ company designs approximately 75 backyard pools. While each project is different, they have one significant commonality: backyards have become a personal space for people who are seeking designs that speak to their individual tastes and desires, despite limiting the potential market for resale.
“There is no question, landscaping around the pool enhances the space and esthetics, and that will enhance its value,” he says. “However, putting in a pool is not the type of thing someone should do if they are planning to sell their home in the near future. This feature is a long-term investment a homeowner typically makes for their family. Adding a cabana, shade structures, and privacy screens are backyard features that can be personal for some people. The value of the pool is in its use.”
By incorporating basic real estate principles into each design and project, landscapers can help their clients look to the future—and potentially upsell them on new, innovative approaches that will reflect well on their property’s value. As such, talking up the long-term financial and environmental benefits of landscaping is an effective marketing strategy.
A notable project has staying power and, like a fine wine, it only gets better with age. Landscaping is one of a few property investments a homeowner can make that will continue to improve. Renovating a living room or kitchen will look fresh and trendy for a certain period—and in the short term will pay immediate dividends if the home is on the market; however, it will inevitably begin to look dated, even with regular upkeep. Cabinet styles can go out of fashion, wall coverings may lose their vibrancy, and windows age and deteriorate.
This is not to say these types of renovations are not a good idea; however, before someone can see these interior upgrades, they have to enter the house first.
“A well-appointed front yard (i.e. curb appeal) is what will get people into the house to see the renovated kitchen,” says Brydges, who does residential landscaping projects across Ontario and in Halifax. “Quite often it is the simple things that add value. For instance, many people will notice a lack of shade; therefore, be sure the appropriate trees are planted in the right spot. In fact, the most popular request from our clients is adding privacy; a close second is shade.
“The best money a homeowner can spend with an easy return many times over—from a resale and environmental perspective—is trees.”
There is a timeless, natural quality to gardens and landscaping, as styles can last for generations. While flower trends may have cycles, they can be replaced easily and rather inexpensively year after year. On the other hand, trees mature into beautiful features, bushes grow to fill in empty spaces and provide a natural wall that creates a sense of seclusion and privacy, while hardscaped patios and paths withstand all Mother Nature can throw at them.
What started out as a $20,000 landscape investment—with regular maintenance and upkeep—could be worth five or six times as much a decade or two later. The job has to be done right, however. A well-planned landscape project has better infrastructure with proper grading and drainage, taking care of all the hidden details that will ensure it lasts for years. It also uses durable, local, and environmentally friendly materials (e.g. stone products).
“A large investment in a landscaping project without a plan is foolish,” says Brydges. “You cannot build without a plan. Many landscapes fail because water drainage has not been handled properly.”
In the real estate market, the initial investment in professional landscaping and regular care over the years is vital to getting prospective buyers through the door—particularly when considering the digital age in which people are now getting their information.
“Life is all about first impressions,” says Karl Vanderquip, a St. Catharines, Ont.-based real estate broker with Re/Max Garden City Realty.
“In real estate, this equates to the home’s curb appeal. That is why landscaping is so important to the desirability of a home. If people do not like the look from the front, the homeowner will be hard pressed to get them in the door.”
A sign on the lawn is less likely to attract a buyer as they drive by. Instead, they are pulling their smartphones out of their pockets and scrolling through pictures of the property posted online.
The first one they will see is how the house looks from the street and that image, more than anything else, will influence their decision as to whether it is a home they want to see in person, or simply scroll past to the next listing.
A home’s curb appeal will also say a lot about the homeowner. In fact, it will influence a potential buyer’s perception of the rest of the property. A well-maintained exterior shows pride of ownership. If a seller has invested in the outside of their home, it is reasonable to assume they have extended the same attention to the home’s infrastructure, e.g. maintaining the appliances and addressing any of the typical issues of homeownership as they arose.
“In today’s market, I would consider landscaping to be one of the most important improvements a homeowner can make when preparing to list their property,” says Vanderquip. “Nothing says quality of lifestyle more than a beautiful yard and garden. By performing this type of work, the homeowner is essentially investing in their equity.”
Making the same investment of time and resources in the backyard is just as important even though it may not be visible from the street. The backyard is a homeowner’s refuge and escape from the stresses and worries of hectic days. Without having to drive for hours through traffic on busy highways to get to a cottage, people are turning to their backyards as a place of tranquility and relaxation. Therefore, a seller who pays attention to these important exterior details will almost certainly influence a buyer’s positive perception of the rest of their home.
[7]Denis Flanagan[8], CLD, is the director of public relations for Landscape Ontario and is a graduate of horticulture in Surrey, England, where he performed landscaping work for the Royal Family and achieved a gold medal at The Chelsea Flower Show. He is a renowned garden and landscape expert in Canada and has been featured on several gardening programs on HGTV. Flanagan, who has taught horticulture at Humber and Seneca colleges, continues to design award-winning gardens. He can be reached via e-mail at dflanagan@landscapeontario.com[9].
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