For 10 years I have been screaming about sqft problems within MLS and tax records. The problems are real and happen in most states. Some counties are better than others, but without going inside the house, the tax assessor can only do a so-so job. It’s bad enough on two story homes but especially bad on homes with basements. If you’re lucky enough to live in an area without basements, count your blessings. For those of us where basements are common, the CU is going to expose the unprofessionalism in reporting square footage that agents get away with every day. Maybe then we can convince Realtors that “their” info does matter and sqft classes will be on the horizon for every real estate agent.
The “Machine” will never work because appraisal is an art (opinion) not a science. Big data is just dots and dashes without the ability to select the right info and analyze the data. A computer can’t do it, not accurately. The MLS (and the public records data that currently fills the MLS) is going to be uncovered for the information accuracy problem they have now, and that has been growing since the mid-nineties. Their magic price-per-square-foot formula doesn’t work with inaccurate data and if you don’t think agents use price-per-sqft, check out a few CMA’s. Also check out HGTV®.
They teach consumers every day about that over simplified magic formula that prices the American dream. Get ready for the square footage revolution! The good fairy DOES NOT work for the local tax department and providing accurate sqft information should be the responsibility of the listing agent. If they want better appraisals, they need a better MLS. Time to turn attention away from appraisers and towards Realtors®. And yes, I am also a Realtor®.
