Property Value Creation: Fence

Does a nice fence increase the value of a property?

The short answer is "yes". The long answer is "yes, yes it does".

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Nowadays you will get contractors coming to your house and telling you that putting up a fence does not really affect the property value and so they will try to sell you a cheap fence. Now this is true in a very small scale. For example, if a house is located in an area where no houses have fences, then in this case, the value of a property may actually decrease by erecting a fence. Now think to yourself, how often do you see neighborhood where no property are fenced. Furthermore, if a contractor is trying to sell or replace a fence in the first place, the contractor is already proposing value creation to your property.

In general, the appearance of a fence adds value to the property overall. Everyone loves their privacy and so do buyers when they consider buying a house. Many potential buyers are looking for a home with a fence because they have pets or want their children to be able to play in the yard safely. It can be said that the benefits of having a fence outweighs not having a fence significantly. In fact, according to appraisers in the article "13 Big Threats to Your Home's Value" from MSN Real Estate, when you look at standard appraisal forms, there is a premium paid for fences! As a result, a fence can impact the value of a property by as much as 5 to 10%!


Next time a contractor tries to make a quick easy buck by selling you a cheap fence, ask him questions and see if he really knows what he is talking about. My guess is, the contractor probably has no real estate knowledge.


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