Q: I’m thinking about building an in-ground pool for my Los Angeles home. Will that increase my property taxes?
In the long term, adding an in-ground pool to your Los Angeles home will almost certainly increase its value; the average value bump for the addition of a pool is $100,000, according to a 2019 report from Redfin. In the short term, however, it will also increase your property tax bill.
“Building an in-ground pool and/or spa would be assessed as new construction, just as building an addition to the residence would be assessed as new construction,” a representative for the Los Angeles County Office of the Assessor told Mansion Global via email . “That new construction assessment would be added to the existing taxable roll value. It would not result in a reassessment of the entire property.”
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“The increase would be billed as a supplemental tax for the first year, and would be included in the annual assessment for subsequent years,” the representative added.
When you complete work on your property (such as the addition of a new pool), the Los Angeles County Assessor’s website notes that their office “reviews permit information received from local permitting jurisdiction for construction, remodeling or repair, individually, to determine the appraisability of the work permitted.”
More broadly, in the state of California, adding a pool and/or pool deck is considered a “tax-affected improvement” since it adds value to your home, the Tax Crisis Institute has reported.
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