Resale Homes Overstating Square Footage

[irvinehomeowner]

I think what is worse than square footage nudging is bedroom and bath counts.

I'll see a den listed as a bedroom even though it doesn't have a closet, or a half bath listed as a full bath (ie 3 instead of 2.5).

In the end, the MLS listing doesn't determine the legality of what was bought and sold, it's the contracts.

When we listed one of our homes, we rounded the square feet up to the nearest 100, it was only 9 square feet difference, but it looked "better". But it depends on scale, there is more of difference in 905sft to 1000sft condo than 3905sft to 4000sft SFR.

 

[hello]

I'm taking it you are not a small government advocate?

Proposing a law to prevent people from committing these pervasive fraudulent practices should not bring into question a persons desire for small or big government.  Even the most staunch small government advocates(libertarians) believe there should be certain laws, as long as the application of these law is to protect the rights of the individual or protect against the criminal actions of those who violate an individual's rights through force or fraud.  In this case, its the latter - fraud.

Actually this is a very specific, detailed law that gets government into policing MLS listing. Quite the opposite of the Libertarian platform. I'm an independent, but I notice the hypocrisy of small government advocates that then recommend a new law as the solution to a problem.

To which very specific, detailed law are you referring to?  Strawman argument.  This is not about government policing MLS listings, but rather preventing false advertisement and fraud. 

Furthermore, the fact that someone proposes a law doesnt commit someone to a big government advocate nor do they become small government hypocrites.  The philosophy of libertarians is that government has limited roles, one of which is to protect peoples rights including life, liberty and property against those who try to violate these rights through force or fraud.  In this case, a law that punishes those who willingly and purposely try to defraud homebuyers by falsely representing sq footage is doing just that. 

 

[Bullsback]

I think what is worse than square footage nudging is bedroom and bath counts.

I'll see a den listed as a bedroom even though it doesn't have a closet, or a half bath listed as a full bath (ie 3 instead of 2.5).

In the end, the MLS listing doesn't determine the legality of what was bought and sold, it's the contracts.

When we listed one of our homes, we rounded the square feet up to the nearest 100, it was only 9 square feet difference, but it looked "better". But it depends on scale, there is more of difference in 905sft to 1000sft condo than 3905sft to 4000sft SFR.

Bed and bath counts though are much easier for a regular buyer to actually notice. Harder to tell a 200 sq ft difference on a 3000 sq ft house.  Pretty easy to count the bathrooms and rooms (including whether it has a closet). 

 

[collected]

We recently got an appraisal on our home and the appraiser's sqft was > 200 sqft more than the builder estimate for the plan. So when we sell our home would it be unreasonable or unethical to use the appraisal sq footage with the larger number? I have the appraisal that states the sqft based on their actual measurement of the home vs the builder estimate. I was just surprised that it was that off - >200 sqft is fairly significant

Nobody is going to do anything since it's so widespread.  It may be that the appraiser took measurements from exterior of the home and just made incorrect calculations.  I can't see how an appraiser could be over 200 sqft off from the builder for gross living area.  The builder has to have everything measured correctly by the inch so how could they be off?

www.appraisalinstitute.org/assets/1/7/Reducing_Liability.ppt

  Five Causes of Measurement Errors
        Measuring Issues
        Missing Gross Living Area (GLA)
        Counting Non-GLA
        Complex Floor Plans
        Inaccessible Measurements

 

[Paris167]

We recently got an appraisal on our home and the appraiser's sqft was > 200 sqft more than the builder estimate for the plan. So when we sell our home would it be unreasonable or unethical to use the appraisal sq footage with the larger number? I have the appraisal that states the sqft based on their actual measurement of the home vs the builder estimate. I was just surprised that it was that off - >200 sqft is fairly significant

Nobody is going to do anything since it's so widespread.  It may be that the appraiser took measurements from exterior of the home and just made incorrect calculations.  I can't see how an appraiser could be over 200 sqft off from the builder for gross living area.  The builder has to have everything measured correctly by the inch so how could they be off?

www.appraisalinstitute.org/assets/1/7/Reducing_Liability.ppt

  Five Causes of Measurement Errors
        Measuring Issues
        Missing Gross Living Area (GLA)
        Counting Non-GLA
        Complex Floor Plans
        Inaccessible Measurements

I agree. It's way off. But I was watching him during the house walk through and he did take multiple measurements inside the house to get the square footage. We also did add the conservatory and master bedroom sitting room which added square footage but still his measurement was about 200 off from what the builder estimated with additions.
Not that I care now because the appraisal was simply for Refi purposes. But in future if I were to sell the home this is where there maybe discrepancy and conflict on a lot of listings out there. But I certainly would have an appraisal report to justify the square footage discrepancy if we ever listed the home with larger square footage.