I been asked about this questions every time when I deal with client and there is difference in the square foot from Appraiser and Appraisal district. I have seen many times deal almost fall through because of this difference. Buyer don’t want to pay more for the less sqft and Seller is trying to justify it’s the right square foot from their source. So How we solve this problem?
Let’s look at some snippet of the article published in Texas Realtors Magazine this time.
It’s not necessarily that the home was measured incorrectly in one instance or another; it’s likely a difference in the method each follows when calculating the house’s square footage, or gross living area. The gross living area (GLA) of a home refers to the above-grade, finished living space. Garages and basements—any part below grade and however well finished—do not count toward the GLA. While condos and co-ops use the interior perimeter dimensions to calculate the GLA, for single-family homes, the exterior dimensions are used.
Builders
Builders often use the exterior dimensions of a home before the veneer is applied when calculating livable area. Floorplans might also include parts of the house in the total square footage that would be excluded by others from the GLA, such as garages, finished walk-out basements, or space on an upper level that is open to the level below.
Appraisal District
An appraisal district measures the exterior dimensions of a home outside of the veneer then rounds each measurement—sometimes to the nearest foot—before calculating the area. Appraisal district measurements also may not exclude area where the home’s exterior is irregularly shaped, such as around a bay window, or parts of an upper level that are open to the level below. The appraisal district does not inspect the interior of homes and may not know what sections of upper floors are open to below, ?like a vaulted ceiling or the space for stairs.
Appraisers
Many appraisers follow the American National Standards Institute (ANSI) process and measure the exterior dimensions of a home outside of the veneer to the nearest inch or tenth of a foot and round only the final calculated square footage to the nearest foot. ANSI also requires appraisers to exclude areas that do not contribute to the livable area, such as areas open to the floor below or bay windows that do not extend to the floor. Appraisers also report basement or below-grade parts of the home separately from GLA. If any portion of the part of the home is below-grade, such as a walkout basement, it is excluded from GLA.
Sometimes confused with the GLA, the gross building area (GBA) is a measurement used mainly for multifamily properties that uses the exterior dimensions of a building, including all common spaces. For a single-family home, the GBA may or may not be the same as the GLA.
Check out this worksheet and try it out yourself to have it handy.
Posted in 
