Square Footage that Counts

May 20, 2021

Square Footage that Counts

When it comes to the value of a house we typically start with square footage. In real estate we refer to the gross living area when measuring square footage. This includes bedrooms, living rooms, bathrooms, hallways, closets, and the kitchen. A garage does not count. An enclosed patio will not count either.

I like to see proven square footage. I’ll consult the local tax rolls to see what the county assessor counts for the living space. Oftentimes, we’ll see listings that include square footage that is not permitted. We’ll see people including enclosed patios, sunrooms, and converted garages too. Appraisers take issue with un-permitted space, and so should the consumer.

With more and more accessory dwelling units being constructed that square footage has come into place. It’s interesting to note that very few people build an ADU and then sell. This means there is little data for an Appraiser to use when providing a valuation on a property. We recently sold a 2,000 square foot home with an ADU. That ADU added about 500 square feet of space, but the Appraiser didn’t include that in the price per square foot valuation. The Appraiser treated it more like a special feature, like a pool or pool house.

Price per square foot really leads the charge when pricing a home. I once had a client with a dialed in garage, but that garage didn’t add square footage to the home. The price per square foot also goes up as the size of a house goes down. For that reason, It’s important to compare like-size dwellings when price a home.

Reach out to Market Real Estate for any questions about square footage.


Recent Blog Posts

Stay up to date on the latest real estate trends.

The DST is Ideal For Aging Investment Property Owners

February 15, 2024

Perch Wealth, Featured in BIZNOW, explains DSTs

Mortgage Rates, Home Values & The Rental Market

September 28, 2022

Mortgage interest rates play a huge role in home values. These rates are now at 2002 levels, up sharply from all time lows in 2021. The average 30 year fixed mortgage … Read more

Out of State Investing

April 7, 2022

Let’s face it… A lot of real estate investors are priced out of California, and prices are continuing to climb. Here is an example. In 2012 an investor could purchase … Read more

Out of State Investing

April 6, 2022

Let’s face it… A lot of real estate investors are priced out of California, and prices are continuing to climb.

Use a Liquidator Instead

March 16, 2022

Market Real Estate specializes in selling inherited properties. Oftentimes our clients have a quite a project on their hands. One of their biggest concerns is what to … Read more

Use a Liquidator Instead

March 15, 2022

Market Real Estate specializes in selling inherited properties.

Pre-Sale Improvements that Add Value

January 6, 2022

We highly recommend a fresh coat of paint. Paint creates a huge return on investment. The “in-style” colors seem to change fairly quickly these days. We went from tans… Read more

Pay Off Your Mortgage Quickly

December 30, 2021

Going back a few generations there was very little credit extended to people interested in purchasing real estate. Fast forward to the first decade of the 2000’s credi… Read more

Appeal of Cash Buyers… Let’s make you one!

December 14, 2021

There is a lot of competition amongst buyers in our housing market. There are simply more buyers than properties available. There also happens to be quite a few buyers… Read more

Let's Talk

You’ve got questions and we can’t wait to answer them.