When browsing property listings, one of the key pieces of information you’ll likely notice is the square footage. Understanding square footage is crucial, but did you know that square footage measurements can sometimes be misleading? Misunderstandings and disputes over square footage are more common than you might think. In this blog post, we’ll explore why these discrepancies arise. We will also discuss the differences between terms like Gross Living Area (GLA) and Total Finished Living Area (TFLA), and the standards appraisers use to ensure consistency.
What is Gross Living Area (GLA)?
Gross Living Area, or GLA, refers to the above-ground, finished, and livable spaces in a home. These areas are heated, accessible, and meet specific criteria, such as having a minimum ceiling height. Spaces included in the GLA are typically the main living areas—like bedrooms, kitchens, and living rooms. What’s important to note in understanding square footage is that GLA does not include spaces below ground level, even if those spaces are finished. It also excludes areas that lack permanent heating systems or direct access from the main living areas. In our Multiple Listing Service, GLA is called Above Grade Finished SQFT.
What is Total Finished Living Area (TFLA)?
Total Finished Living Area, on the other hand, is a broader term that can include spaces beyond the GLA. TFLA might encompass finished basements, enclosed porches, and other additional areas. This inclusion holds even if they’re below grade or separate from the primary living area. Understanding square footage in these terms adds usable space, but their inclusion in a listing can sometimes confuse buyers who expect all the square footage to be above ground. This is also known as Total Finished SQFT.
Why Do Disputes Over Square Footage Arise?
Square footage disputes often stem from differences in measurement practices or misunderstandings about what’s included. For instance, a finished basement with a low ceiling or limited natural light might be listed as part of the total square footage. An understanding of square footage is crucial, however it might be excluded from the GLA due to appraisal standards. Similarly, enclosed porches or bonus rooms may be included in marketing materials but excluded in appraisals.
It doesn’t help that each local MLS may use different names for the same measurement. BrightMLS actually has 20 separate fields having to do with SQFT!
Another factor is the lack of standardized methods for measuring square footage in real estate marketing. While appraisers must adhere to strict guidelines, such as the ANSI Z765 standard, real estate agents or sellers may use less formal methods. This can lead to inconsistencies. According to the National Association of Realtors, these differences can affect understanding square footage, especially when buyers rely on listing data. This data may not align with an official appraisal.
The Role of Appraisal Standards
To ensure consistency and accuracy, appraisers follow established guidelines, like the ANSI Z765 standard, to measure square footage. These standards define what qualifies as livable space and how it should be calculated. For example, above-grade spaces with a ceiling height of at least seven feet are typically included. Meanwhile, areas below grade—such as finished basements—are reported separately. Understanding square footage according to these standards provides a reliable framework that helps buyers, sellers, and lenders understand a property’s true value.
What You Can Do as a Buyer or Seller
Whether you’re buying or selling a home, it’s essential to understand what the square footage in a listing represents. Don’t hesitate to ask questions about how the space was measured or request additional documentation, such as floor plans or appraisal reports. As a buyer, make sure to compare the listing’s square footage with the appraisal to ensure there are no surprises. As a seller, work with a knowledgeable real estate agent who can present your property’s features accurately and avoid potential disputes.
Conclusion
Square footage is a critical factor in real estate, influencing everything from price to buyer expectations. Understanding square footage distinctions between Gross Living Area, Total Finished Living Area, and the standards appraisers use can help you navigate the complexities of property listings. If you’re in the market to buy or sell a home in Catonsville, I’m here to help. Let’s ensure you have all the information you need to make confident decisions. Contact me today to get started!