Arbor Day Foundation finds that planting trees in residential areas can increase property values anywhere from 3 to 15 percent. Trees can really spruce up a neighborhood and appeal to potential buyers.Removing dying or rotting trees can also increase the value of your home by eliminating that risk for future residents, according to Realtor.com. Remember that the cost of removing trees, even if diseased or rotting, is considered routine care and maintenance and is usually not covered by insurance.