D+AS MAGAZINE

FEATURES — National Study Highlights Impact of Front Entryway on Home Values

© 2002 Door & Access Systems
Publish Date: Summer 2002
Author: Tom Wadsworth
Pages 42-43


National Study Highlights Impact of Front Entryway on Home Values

Study Offers Implications for Garage Doors

New research indicates that a more attractive front entrance can considerably increase the perceived market value of a home. The report also suggests that enhanced front-facing garage doors may also contribute to a home’s perceived value.

The study, commissioned by Therma-Tru Doors and conducted by an independent research organization, asked more than 2,000 consumers from across the United States to estimate home prices based on their exterior appearance.

The study found that an enhanced entryway can add as much as $24,000 to a home’s perceived value.

Jerry Oleshansky, Therma-Tru’s vice president of sales and marketing, said, "We’ve always believed that a beautiful front entrance adds to the value of a home, now we have the facts to prove it."

He continued, "The added perceived value was as much as five times the cost of the entry system. The enhanced entry system used in the study – Therma-Tru’s Classic-Craft fiberglass door system with decorative glass, sidelites and a transom – sells for about $3,000–$4,000 retail. It’s hard to think of any other upgrades to a home that could deliver a similar return."

Implications for Enhanced Garage Doors

What about an enhanced garage door? Door & Access Systems asked Oleshansky if the study may also apply to front-facing garage doors.

"Garage doors may add to the home's perceived value, but the study didn't address that issue," he said. "What you can say, however, is that the study suggests that improvements in the front elevation of the home can have a big impact on perceived value."

Decorative Lites a Factor

The enhanced entry systems generally featured decorative lites in the door, in the sidelites, and in the transom. Consequently, we also asked Oleshansky which of these enhancements may have been a major factor in increasing the perceived value of the home.

"We can't say definitively from the study, but each element seems to contribute to the whole effect," he replied. In the first test home, both the unenhanced and enhanced entryways had sidelites, and the value still increased 3.2 percent.

"However, the increase in perceived value was greater (above 6 percent) … when going from a door without sidelites to the enhanced entry," he said. "So it seems that all elements play a role."

National Sample of Homebuyers

The study, using an online survey, recruited two sample groups of more than 1,000 homeowners each. The participants were qualified by age and income to reflect typical homebuyers. They were between 30 and 50 years of age, had an annual family income of at least $75,000 and had either purchased or shopped for a home within the past five years.

Each group looked at images of homes and was asked to estimate how much each one would cost, based on its appearance.

One group looked at images of three homes with standard 6-panel doors. This group of images was referred to as the "unenhanced" sample. The second group looked at images of the same homes upgraded with Therma-Tru Classic-Craft fiberglass entry systems including decorative glass, sidelites and transoms. This group of images was referred to as the "enhanced" sample.

In all three cases, the enhanced entry system added to the perceived value of the home (see table).

Benefits for Builders, Homeowners, Remodelers

"These findings suggest important benefits for builders, homeowners, and remodelers," Oleshansky noted.

"The results suggest that an enhanced entry system will positively influence the selling price of a home… That perception could translate into a higher selling price, increased demand, and improved sales cycles for builders," he suggested.

For homeowners and remodelers, the study suggests that a new entry door system will add value to an existing home, at a lower cost than many other remodeling projects. "According to the research, the added perceived value of an enhanced entryway was four to five times the investment," Oleshansky concluded.


Increase in Perceived Values for Homes with Enhanced Entry Systems

Unenhanced
Value
Enhanced
Value
Difference Percent
Difference
Test Home 1* $427,540 $441,190 +$13,650 +3.2%
Test Home 2** $284,730 $303,630 +$18,900 +6.6%
Test Home 3** $403,470 $428,310 +$24,840 +6.2%

*Upgrade from a Therma-Tru 6-panel Smooth-Star door system with two sidelites to a complete Therma-Tru Classic-Craft door system including decorative glass, sidelites and a transom.
**Upgrade from a standard 6-panel door to a complete Therma-Tru Classic-Craft door system including decorative glass, sidelites and a transom.