Help! The appraisal square footage measured is not accurate

When you’re buying or selling a home, one of the first things you look at is the square footage. But what if the appraisal square footage measured is not accurate? This problem is more common than you might think. And, it can affect everything from the sale price to your property taxes. So, what happens when there’s a square footage discrepancy, and how do you handle it? Let’s break it down for you, below.

Is a home appraiser required to measure square footage?

Yes, an appraiser measures the square footage of a home as part of the appraisal process. However, they may not be the final authority on square footage. Here’s the thing: they may not be using the same rules as, say, your real estate agent or the property tax assessor. Appraisers follow certain guidelines, but those guidelines can vary. This is where discrepancies can occur.

How is the accuracy of data measured in an appraisal?

The accuracy of a home appraisal square footage measurement depends on the measuring standards the appraiser follows. The most common standard used is the American National Standards Institute (ANSI) method, which outlines how to measure the living area. Despite this, different regions or appraisers might use slightly different techniques. For example, some may include areas such as finished basements or garages in the total square feet, while others might not.

Remember that appraisers are human and can make mistakes in calculating or interpreting the boundaries of a house. Also, a difference in square footage could also result from errors in public records or earlier measurements that weren’t updated properly.

How are home appraisals measured?

Appraisers generally measure the exterior walls of the house to calculate square footage. But, here’s where it gets tricky – they often include only the above-grade square footage, meaning the space that is above ground level. However, some appraisers may also include below-grade square footage, like a finished basement. It depends on whether they consider this space livable or not.

Additionally, they measure each level of the house separately, combining them to get the total square footage. It’s important to note that appraisers focus more on the living area. This excludes garages, patios, and unfinished basements unless those spaces are fully finished and functional as part of the home’s living space.

The bottom line is that what they consider part of the living area may not match your square foot expectation.

What’s the difference between total square footage and living square footage?

Total square footage refers to the entire size of the house, including every nook and cranny – from the garage to the basement. Living square footage, on the other hand, only counts areas that are heated, air-conditioned, and finished to a standard suitable for daily living. For instance, unfinished attics or non-insulated garages would not be included in the living area.

The difference between these two measurements is crucial. It directly impacts the appraisal, which in turn affects the home’s sale price, property taxes, and how attractive it is to a potential buyer. 

Why does square foot discrepancy matter for buyers and sellers?

Whether you’re buying or selling a home, inaccurate square footage could mean that a home is either under or overvalued. When the footage of the home doesn’t match, it can raise red flags for both parties. For home sellers, knowing the accurate square footage can help you price your home correctly. They could face renegotiations or a lower sale price because the property doesn’t seem as large as initially advertised.

For buyers, being aware of potential discrepancies can prevent you from overpaying for less space than you expected. Both parties should rely on their real estate agent to help verify the accurate square footage and understand the inclusions in the appraisal.

Read more: Home buying red flags key issues

What can you do if the appraisal square footage measured is not accurate?

If you find that the appraiser’s square footage is off, don’t panic! You can request a re-measurement or even hire your own professional to verify the numbers. It’s also wise to compare the appraiser’s report with public records, though keep in mind these records may also be inaccurate or outdated.

Last thoughts

Square footage is a critical element in determining the value of a home. However, it’s not always measured the same way. From affecting property taxes to influencing a potential buyer’s decision, accurate square footage is essential in the home buying or selling process. If you see any discrepancies, do share them with your real estate agent. With the right information and professional guidance, you can ensure that your home measurement accurately reflects its true value.

Read more: 500 sq-ft house construction cost

Written by Ramona Sinha. October 16, 2024

Ramona is the Senior Content Writer for Kukun. This experienced blogger uses simple and succinct words to decipher the complex phenomenon called life. She has written articles covering a broad range of topics, such as real estate, lending and mortgage, finance, business, taxation, home designs, home improvement projects, decor concepts, and more. An avid traveler, she’s a digital nomad at heart and an animal lover from the depth of her soul.