Landscaping Means Higher Home Price

Framing your house with a picture-perfect yard might be worth more than just a thousand words.

A manicured lawn, stately trees and an impeccably kept flower garden could translate into a quicker sale and a better price when you're ready to put your house on the market.

Studies have shown that attractive landscaping increases the value of a home, and that has been even more true in the past few years as the housing market continued to boom despite the soft economy.

Bob Fitch, executive director of the Minnesota Nursery and Landscape Association in St. Paul, said the association's members have seen an upturn in business in the past five years, not only at the retail level, but also with landscape designers and installers.

Consumers are more careful about getting bids and holding down costs on landscaping projects, Fitch said. But with more people staying home and spending less on travel because of war, terrorism threats and financial struggles, many consumers are spending their discretionary dollars to sculpt outdoor areas for entertaining.

That desire for attractive outdoor features carries over to home buyers as well. From the simplest container gardens to extensive water features, landscaping has become an important selling point for many homes. Curb appeal can turn lookers into buyers, and heighten the anticipation of what's behind the home's closed doors.

First Impressions. That first impression is important, said appraiser Eric Flom, not only to entice potential buyers but to create a positive attitude about the house in the minds of appraisers and Realtors.

Flom, who appraises homes in Ramsey, Hennepin, Washington and Dakota counties for Town & Country Appraisal Network in Roseville, said the money homeowners spend on landscaping is a good investment. When lots are attractive and well cared-for, it sends a message about the care of the house inside as well.

Appraisers do take landscaping into account when comparing a home to similar properties. According to the Council of Tree and Landscape Appraisers, a mature tree often can have an appraised value of $1,000 to $10,000.

Flom, who has been in the appraisal business for more than 20 years, said landscaping has become even more important in the past few years. Buyers are more informed and have higher expectations, he said – even for entry-level homes – those in a price range from $100,000 to $225,000.

A nice lawn with some trees and flowers can help push a price into the higher end of its range and move the house faster, Flom said.

A distinctive landscape is an even stronger selling point for townhouses and other high-density developments, according to Gary Zumberge, owner of CVS Home Appraisals in Edina. It's less expected in those projects and shows the owner took some extra care, he said.

Curb appeal can really help sell a home, said Realtor Linda Kuhnley of Edina Realty. She said the neary every home she lists on the Internet includes photos of the front and back yards.

Landscaping recently helped push the sale of a home in Bloomington that was listed at $1.2 million. She said the landscaping in the front and back of the house were key to this properties quick sell. The home's curb appeal enticed a lot of potential buyers inside, she said. The home sold for close to the list price.

Kuhnley said she there is is a comparable property in the area, which is not as nicely landscaped, and is for sale.

Zumberge said landscaping helps no matter where the property is located, in the city or in the suburbs. It's all about meeting the expectations of the potential buyer, he said, whether the property is selling for $55,000 or $550,000.

Aesthetics isn't the only reason to landscape a lot. Trees can cut energy costs, fight air and noise pollution and help prevent erosion and storm-water damage. According to the American Forest Industry Association, one tree in the city can provide savings of up to $273 a year in air-conditioning costs.

Foundation plantings also can help reduce energy costs by shielding the house from the elements, and native plantings reduce the amount of grass that needs mowing.

High Recovery Value. Landscaping isn't cheap, but a well-executed design can cut maintenance costs. Creativity, using a mix of perennials, annuals and other elements outside standard landscaping formulas can add more dollars to the price of a house, too, said Fitch, who oversees a trade association that includes more than 1,000 nurseries, garden centers, landscape designers and contractors and landscape management professionals.

Among landscape projects that can add 4 to 5 percent to the selling price of an average home ($250,000 and less) are trees, rock walls and gardens, native plantings, such as grasses, and woodland flowers and perennials, according to a 2001 survey for the National Association of Realtors.

The percentage can grow to as much as 15 percent for high-end estates, where sprinkler and lighting systems and other such amenities are expected.

In addition, a good design can bring a recovery value of 100 to 200 percent of the project's cost at selling time, according to Money magazine. The recovery rate for landscaping is higher than that of kitchen and bathroom remodeling, the magazine said, but added that it's important to get good advice before undertaking a major project.

A yard clean-up and landscaping job can cost an average of $470, but might add about four times that sum to the eventual sales price, according to a recent HomeGain survey of 2,000 real estate agents.

With a yardful of flowers, manicured grass, trees and shrubs, maintenance becomes an issue for potential buyers, so sellers looking to boost the value of their property might want to concentrate on elements that don't require too much work.

For some cash-or time-strapped sellers, putting out a few containers of flowers at the door might be all they can muster. That inexpensive addition can't hurt, especially if the goal is selling your home quickly.

Framing the entryway of the home might be all it takes to achieve the ultimate goal of selling, said Doug Anderson, an agent with Edina Realty: You want to entice the buyer to go inside.

The author, Cyndi Younger Nightengale, can be reached at cnightengale@startribune.com.