How Much More Will People Spend for a View?

Look at your front window and what do you see?

Would you pay a premium to see something a bit more scenic? How about nature? Or water? Or the views of a bustling city? According to recent data from American Home Shield, Americans are most interested in a water view and would pay a premium of 78.1% for it. A nature view increases value 44.2% in the U.S. Meanwhile, city views have divided consumers, in half of states, there is an increase in premium, while in the other half, a city view actually decreases the value.

Pennsylvania is one state where most buyers don’t want a city view. The report found that the average price for a home with a city view is $292,121, which is a decrease of about 6.8% from the average price. Consumers seeking out homes with a nature view are more likely to pay more. Buyers will pay 33.2% more for a nature view then they would for a city view. In Pennsylvania, buyers will pay a premium of 57%, with the average home with a nature view going for $553,605. Only in New York and New Jersey do homes with a nature view cost less than the average home.

However, water views are by far the most in-demand, and with that, buyers are paying a premium to be near it. In Pennsylvania, the average price of a home with a water view is $656,986, a 74% premium, but well below the 225% premium residents in Wyoming spend. Arizona is the only state where a water view is a deterrent, with those homes losing 15% of the average cost.