How this number is made
Price per square foot lets you compare houses only when the square feet are counted the same way. Basements, porches, and garage bays get included or excluded depending on who measured.
- Use the same kind of area for every house you compare.
- A renovated small house will look expensive per foot and can still be the better buy.
Formula
Price per square foot = price ÷ square feet.
Worked example
With the figures already in the form, per square foot is $233.33.
Questions
Whose square feet?
The appraisal, the tax record, and the listing often disagree. Pick one source and stay with it.
Does a high number mean overpriced?
Not by itself. Location, condition, and lot size move the number. It is a screen.