Appraisers adopt ANSI measurement standards. What is it exactly?
October 29, 2022
Appraisers Adopt ANSI Z765-2021 Measurement Standards: What Does It Mean for You?
In real estate, accuracy is everything. Whether you’re buying, selling, or refinancing a property, understanding your home’s true size can significantly impact its valuation. As of April 1, 2022, appraisers must adhere to the ANSI Z765-2021 standards when measuring single-family homes for appraisals tied to Fannie Mae loans. But what exactly is ANSI Z765-2021, and how does it benefit homeowners, buyers, and real estate professionals?
Why Accurate Measurements Matter
Imagine listing your home, only to realize that discrepancies in square footage estimates have undervalued or overvalued your property. Inaccurate measurements can lead to inflated property taxes, improper pricing, or financing issues. By using a standardized method like ANSI Z765-2021, these problems can be avoided. This standard ensures appraisers follow consistent guidelines, providing transparency for homeowners and buyers alike.
What Is the ANSI Z765-2021 Standard?
The ANSI Z765-2021 standard outlines a consistent approach for measuring the square footage of single-family homes. The key focus is on Gross Living Area (GLA), which refers to the finished above-grade space. Some of the most important aspects of the standard include:
Above and Below Grade Areas:
Only spaces above ground level count towards the GLA. Basements, even if finished, are considered below grade and are excluded from the GLA.
Ceiling Height Requirements:
Finished areas must have a ceiling height of at least 7 feet. In rooms with sloped ceilings, at least 50% of the finished area must meet this height, with no part of the area lower than 5 feet included.
Staircases:
Staircases are counted in the GLA, attributed to the floor from which they descend.
Measurement Techniques:
All measurements are taken from the exterior walls of the property, ensuring consistency across different homes.
Benefits of ANSI Z765-2021 for Homeowners and Buyers
Adopting the ANSI Z765-2021 standard offers several benefits:
Accuracy:
Clear, repeatable guidelines ensure that all properties are measured consistently. This eliminates discrepancies between appraisals, public records, and tax assessments.
Transparency:
With precise, transparent measurements, homeowners and buyers can feel confident that property values reflect the true size of the home.
Fannie Mae Compliance:
For homes being financed through Fannie Mae, compliance with ANSI Z765-2021 is required. This ensures that all properties are measured and reported using the same method.
Fewer Disputes:
When buyers, sellers, and lenders rely on the same standards, there’s less room for disputes over square footage.
How Appraisers Implement ANSI Z765-2021
Appraisers who follow ANSI Z765-2021 must use updated technologies such as mobile apps and Bluetooth laser meters to create computer-generated sketches. This reduces human error and helps streamline the appraisal process. These tools also ensure the results are consistent, professional, and easy to replicate.
Why Should You Care?
Whether you’re selling, refinancing, or simply curious about your home’s value, understanding the ANSI Z765-2021 standard helps you make informed decisions. When an appraiser uses these guidelines, you can trust that the square footage is accurate and up to date, which can be a huge benefit when it comes to pricing or securing financing.
At Capital Valuations, we ensure every appraisal complies with the latest ANSI standards, so you get an accurate, fair assessment of your property’s value. Whether you’re preparing for a sale or looking to refinance, accurate measurements matter—and we’re here to help.
Final Thoughts
ANSI Z765-2021 is more than just a standard—it’s a step toward clarity and fairness in the real estate market. By adopting these guidelines, appraisers can provide better service, and homeowners can feel confident in the results. If you’re in need of an appraisal that follows these updated standards, don’t hesitate to contact us at Capital Valuations.
