RMLS™ subscriber and appraiser Ralph Olsen has co-authored a paper with Dr. Scott Wallace of Washington State University in Vancouver. Hidden Dangers in Sale Price Per Square Foot Analysis discusses the dangers of using price per square foot as the sole means for valuing a particular property. REALTORS® should gain insight to appraisers’ methodology and why this common practice can provide misleading results!
Read Hidden Dangers in Sale Price Per Square Foot Analysis by Ralph Olsen and Dr. Scott Wallace.
I completely agree, a realtor friend of mine says that pricing a home by the square foot is like pricing a car by the pound!