Does A Covered Patio Increase The Value Of Your Home? | Living The Outdoor Life (2024)

Adding a covered patio to your home can provide a return on investment (ROI) of 30 to 80 percent, depending on the size, materials, and features.

It’s important to make the most of this ROI by considering the best ways to add a covered patio, avoiding potential pitfalls, and understanding why it’s a wise investment.

If you’re planning to invest in your home, it’s important to weigh the potential return on investment before making any permanent changes.

Keep in mind that not all home improvement projects are equally profitable when it comes time to sell.

Upgrading your backyard with a covered patio is a wonderful way to enhance its appearance and increase the value of your home.

However, it’s important to note that various factors can affect the amount of value added by this improvement, including the patio’s type, design, unique features, and more.

It’s essential to get it right, as a poorly executed patio can actually decrease your home’s value.

There is always the option of attaching a pergola.

Does A Covered Patio Increase The Value Of Your Home? | Living The Outdoor Life (1)

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How Much Value Does a Covered Patio Add?

The amount of value your covered patio will add to your home’s listing price depends on how much it costs to build and the material that it is made of.

  • If you spent $5,000 to build a covered patio made of wood, you will likely get an ROI of $3,750 or 75 percent.
  • If you spent $5,000 to build a covered patio made of some other composite material, you will likely get an ROI of $3,500 or 70 percent.

The value of a covered patio may vary depending on your location.

Warmer states such as Florida or California may see more value in a covered patio than colder, rainier, or more temperate states like Alaska.

To determine how much value it may add to your home, consider consulting with local contractors or realtors.

Additionally, researching the prices of similar homes with porches on the market may provide helpful insights.

When it comes to building a patio and hiring contractors, it’s important to keep in mind that the cost of materials can have a big impact on your return on investment.

To get a better idea of how much it might cost, it’s a good idea to get multiple quotes and weigh the potential investment against your budget.

Covered Patios, Decks, and Porches

If you’re planning to enhance your home with additional features, there are numerous options to consider.

For outdoor living spaces, you can pick from a porch, wooden deck, and patio, among others.

These options are quite similar, making it tricky to decide which one to choose.

Here are the main differences between the three options.

  • Porches are typically in the front or wrap around the home. People often sit and hang out in these areas, but they aren’t typically used for cooking or eating.
  • Patios are typically at ground level and can be covered or uncovered. You hang out, cook, and eat on a patio that is furnished.
  • Decks are often elevated off the ground and rarely covered (unless by an extendable sun shade). They are similar to patios in that people often cook, eat, and sit on decks.

The ideal choice for your outdoor space is determined by various factors, including the available space, your budget, and your desired outcome.

Covered patios provide versatility in entertaining guests and are a cost-effective option with a high return on investment.

Related Article: Top 10 Reasons for Owning a Pergola

What to Consider When Building a Covered Patio

When constructing a covered patio, it’s essential to ensure that it complements the look and style of your home.

A patio that is too large or intricate may reduce the value of your home, so it’s essential to keep it organic and proportional.

Additionally, it’s crucial to verify with your HOA that there are no guidelines or limitations that could prevent you from creating your ideal patio space.

It’s best to steer clear of trendy designs as they can quickly go out of style.

If you’re going for a classic look, stone, and brick are great options, but if you’re on a budget, concrete stamping can give you a similar look for less.

Wood is always a timeless choice, but avoid using too much paneling on the sides and roof.

To add character to any material, consider adding a pop of color through outdoor furniture, rugs, or hanging baskets.

When choosing a covering for your patio, there are several factors to consider.

The covering should complement your existing roof and overall home design.

Additionally, it should be durable enough to provide a good return on investment in the long run.

You may also consider options like a retractable shade to add versatility to your patio space.

Benefits of a Covered Patio

Adding a covered patio to your home offers numerous benefits, including increasing your home’s value.

You can enjoy the outdoors no matter the weather with the covered space.

It offers protection from rain and hail during inclement weather and shade and sun protection during hot, sunny summer days.

Protecting your patio furniture from sun damage is vital to extend its lifespan and prevent weakness and deterioration over time.

Keeping your furniture dry is equally essential to prevent mold growth and other bacteria on it.

Never again do you need to worry about accidentally sitting on a wet cushion with your covered patio.

Not only does a covered patio provide an excellent outdoor entertainment area during both day and night, but it also allows for enjoyment all year round, as long as the temperature permits.

Upgraded backyard spaces have become increasingly popular as one of the most sought-after home and backyard improvement upgrades in recent years, and a covered patio is a great way to capitalize on this trend.

Final Thoughts

If you’re wondering whether investing in a covered patio is a good idea, the answer is yes.

From a value-add perspective, it’s worth it. In the short term, it provides a fun and unique space to relax in your backyard or host gatherings.

In the long term, it adds value to your home’s resale value, and you’ll see a return on your initial investment.

The return on investment for a covered patio can depend on several factors.

However, having a great covered patio can make your home more attractive compared to others in the market.

By extending the outdoor space, you can enjoy more time to entertain, relax, and unwind after a tough day.

This additional season would be a great way to make the most of your outdoor space.

Enjoy living the outdoor life!!!

Does A Covered Patio Increase The Value Of Your Home? | Living The Outdoor Life (2024)

FAQs

Does A Covered Patio Increase The Value Of Your Home? | Living The Outdoor Life? ›

That said, it's estimated that well-designed patios not only add 8-10% home value, but also earn an ROI of over 80%.

Do covered patios add value? ›

Adding a covered patio definitely adds value to your home. However, as with any upgrade, it's important to remember that the most high-end, extravagant upgrades probably won't increase the value significantly more than middle-range upgrades.

What is the ROI on a covered patio? ›

Covered patios offer a decent return on investment, allowing you to recoup some of the money if you sell your home down the line. On average, a covered patio increases the home value by about 80% of what you paid for installation.

Do outdoor living spaces add value? ›

Maximizing Home Value

This trend in the real estate market has made outdoor living spaces a sought-after feature, often increasing a home's resale value and appeal as buyers seek properties that offer seamless indoor-outdoor experiences.

What adds more value to a house, a deck or patio? ›

Backyard patios provided a 55.2% ROI, compared to wood decks at 75.6% and composite decks at 69.1%. If you already have a back patio, consider building a deck over the concrete to boost your equity.

What adds the most value to a home? ›

Projects That Boost Your Home's Value
  • Remodel the kitchen. Updates to the kitchen pay off. ...
  • Upgrade the appliances. If your appliances don't match, consider ordering new doors and face panels from the manufacturer. ...
  • Remodel the attic or basem*nt. ...
  • Improve energy efficiency. ...
  • Swimming Pools. ...
  • Luxury Upgrades. ...
  • Garage Conversions.

What is the difference between a covered porch and a covered patio? ›

The major difference between a porch and a patio is that one is attached to your house and the other is a separate space. Additionally, porches have roofs while patios do not. While porches can be located on the front, side, or back of a home, patios are most often only on the side or the back.

What is a good size for a covered patio? ›

We recommend a minimum of 25 square feet per person. So, if you plan to host 15 people- plan for a space around 375 sq. ft. We recommend a patio around 550 square feet for comfortable entertaining.

What is the best height for a covered patio? ›

The standard pergola height is 8 to 12 feet. But that doesn't always have to be the case. For example, if you want an 8-foot head clearance, the beams will take it up to 9 feet at least, and then the rafters will total 10-feet easy.

How much should I spend on an outdoor patio? ›

Size
Patio SizeSquare FootageAverage Cost Range
Small49$250 – $2,500
Medium144$750 – $7,200
Large400+$2,000 – $20,000
Dec 19, 2023

What adds most value to backyard? ›

5 backyard improvements that add value to a home
  1. Patios. There's no better way to define an outdoor space than to install a patio. ...
  2. Decks. Consider adding or replacing a deck to expand your usable outdoor space and boost your backyard's value. ...
  3. Privacy fences. ...
  4. Outdoor kitchens. ...
  5. Low-maintenance irrigation.
2 days ago

How to increase home value by $50,000? ›

Home improvements that improve value can include:
  1. Landscape Layout. Landscaping should be welcoming, well-kept, and easy to maintain. ...
  2. Front Door Updates. A fresh coat of paint or modern door style elevates the entryway.
  3. Outdoor Lighting. ...
  4. Driveways and Walkways. ...
  5. Replace the Garage Doors.
Jan 9, 2024

Does a patio increase appraisal value? ›

On average, the cost of building a patio can be as high as $5,300, depending on size and materials used. That said, it's estimated that well-designed patios not only add 8-10% home value, but also earn an ROI of over 80%.

What lasts longer, a patio or deck? ›

Lifespan: Patios last longer than wood decks even though they can get cracked and stained over time. Decks don't have the same longevity, though they can age well with proper care.

How much value does a covered porch add to your home? ›

Adding a porch enclosure can allow your home's value to increase by 4-6% and could help your home standout among other listings to potential buyers.

How much value does a covered porch add? ›

Adding a porch enclosure can allow your home's value to increase by 4-6% and could help your home standout among other listings to potential buyers.

How much value does a covered deck add to your home? ›

How much can a deck increase home value? The study found that a deck is a top-10 outdoor home improvement. A wood deck will cost an average of $17,051 to install and should recoup about 50% of its value at sale. A composite deck will cost an average of $23,430 and should recoup about 40% of its value at sale.

Does a covered deck increase home value? ›

According to the 2021 Cost vs. Value Report from Remodeling magazine, a deck addition is a top 10 outdoor home improvement. A wood deck, which will cost on average about $16,766 will recoup about 68% of its value, and a composite deck, which will cost about $22,426, will recoup about 63% at home sale.

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