Confidence in the size of your home is a fundamental aspect of real estate, but have you ever wondered why the reported square footage can differ from one source to another? In this article, we will delve into the reasons behind these discrepancies and underscore the significance of precise measurements in the real estate world.
When you bought your house, someone, whether it was a real estate agent, a builder, or a published source, provided you with an estimate of its size. However, this estimate may not always be consistent or entirely accurate. Let's explore the factors that contribute to these variations.
Every source of square footage data follows different standards and regulations when measuring and reporting. Online real estate platforms like Realtor.com, Zillow, and Redfin rely on an IDX system, which aggregates information from regional MLS systems. The square footage displayed on these platforms is typically entered by the listing agent. Unless that agent has been trained in specific measuring standards, the data may originate from sources like tax records or the homeowner.
In Pennsylvania, for instance, assessors are not required to adhere to professional measuring standards like ANSI, leading to square footage estimates based on rounded or estimated measurements. Furthermore, many agents include areas like finished basements or unheated enclosed porches in the square footage, even if they are not considered above-grade space. This is done to represent the property in the best possible light and attract the right buyer.
So, why do appraisals often reveal differences in square footage? Appraisers must adhere to precise standards that dictate what can be counted as above-grade square footage. Using the ANSI Z765-2021 measuring standards, as enacted by Fannie Mae in 2022, appraisers must measure with precision down to the nearest inch or tenth of an inch. (Let’s not debate that these are two slightly different measurements- I didn’t write the standard.) There are also areas of a structure that cannot be included in above-grade square footage, such as spaces with a ceiling height of less than 7 feet. If any part of a level is not entirely above ground level, it cannot be included in the square footage calculation. Additionally, in homes with two-story ceiling heights, like large open foyers or great rooms, the open area is counted only once for the main level.
If you receive an appraisal report that indicates a different square footage than what you believed your house to be, it's essential to investigate further. Compare the source of your initial knowledge to the sketch in your appraisal report to understand the discrepancies.
In the world of real estate, understanding square footage variations is crucial. It can impact the value of your property, as well as your buying or selling decisions. Being aware of the different standards used by various sources can help you make informed choices and ensure that your home's size is accurately represented.