Q. Is “price per square foot” a good means of comparing the value of one home versus another?
A. Price per square foot is a common measurement, but it can be misleading. The number may vary depending on the source of the information. It’s even more confusing when you’re comparing different styles of homes. Be aware of some of these differences:
- Your real estate agent may provide the most accurate measurement of living space, which does not include such things as decks, garages and basements.
- The property owner may include storage areas in their measurement.
- Public records may not be accurate for homes that have been remodeled or added onto over the years.
- An appraiser’s figure could also be different from public records.
- A home builder will say value depends on what is in the square foot. If they use higher-quality materials than their competitors, they will have a higher cost per square foot, but they may also be selling a better home.
Because the measurements aren’t all calculated the same way, some agents choose to leave them out entirely in the listing with a disclaimer that states the buyer should verify square footage.
The best advice is to ask detailed questions. Go through the home (tape measure in hand if necessary) so you can judge for yourself the home’s value.
If you have any questions or need capable and caring representation, please call me toll free at 877-957-6677 ext. 200
