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Mastering ANSI Residential Measuring Standards

Learn the ANSI Z765-2013 standards from expert Byron Miller to reduce liability and ensure accurate residential measurements. Gain insights into single-family and multi-family measuring rules with practical examples.

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Mastering ANSI Residential Measuring Standards

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  1. Reducing Appraiser Liability: Using the ANSI Residential Measuring Standards • Presenter • Byron Miller, SRA, RAA, MSSE • Principal Appraiser • BM Appraisals

  2. Presenter Biography Byron Miller, SRA, RAA, MSSE - MN Certified Residential Appraiser - WI Certified Residential Appraiser - SRA Designated Member of the Appraisal Institute - RAA Designated Member of the National Association Realtors - BOD North Star Chapter of the Appraisal Institute - BOD Twin Cities Financial & Estate Planning Council (TCFEPC) - Instructor - Coursework Developer - Author - Software Developer - http://www.bmaprsls.com - bmaprsls@isd.net - 612.822.5985

  3. Seminar Objectives • Discuss SFR Measuring Standard • Discuss MFR Measuring Standard

  4. ANSI Z765-2013 Single-Family Residential Measurement Standard

  5. Z765-2013 Overview • Motivation for Standard • ID Five Causes of Measuring Errors • Present Major Components of Standard • Examples

  6. Quiz • Calculate first floor area of home • First floor area • Base Area: First Floor • 40’ X 26’ • Bump-out: floor-ceiling height 6’ 8” • 20’ X 4’ • Fireplace Bump-out: • 8’ X 4’ • Stair Opeining • 6’ X 8’

  7. Quiz Floor Plan

  8. Quiz Floor Plan • Which is the correct area? • 1040 SF • 1112 SF • 1080 SF • 1032 SF • 992 SF

  9. Quiz Answers • 1040 SF for gross area • 40’ X 26’ = 1040 SF • 48 SF for Void Area • 6’ X 8’ = 48 SF • 992 SF for total finished area • 1040 SF – 48 SF = 992 SF

  10. Organization Background • ANSI: American National Standards Institute • Oversees Standards Development • Non-Profit • Established 1918 • 125,000+ Member Companies

  11. Organization Background • NAHB: National Association of Home Builders • Enhance Housing & Building Industries • Provide Affordable & Safe Housing • Established 1942 • 140,000+ Member Companies

  12. Motivation • Why do we need a measuring standard?

  13. Motivation • What is it? • Voluntary Guidelines for describing, calculating, measuring, and reporting of area for Single Family Residential (SFR) attached, detached & semi-detached (Duplex) homes.

  14. Motivation • In the beginning…

  15. Motivation • There was…, Gross Living Area (GLA) • “Total area of finished, above-grade residential space; calculated by measuring the outside perimeter of the structure and includes only finished, habitable, above-grade living space. (Finished basements and attic areas are not generally included in total gross living area. Local practices, however, may differ).” • The Dictionary of Real Estate Appraisal, 5th ed.

  16. Motivation • Why do we need it? • Inconsistent Measuring Methods • Exterior area Measuring • Interior area Measuring • Mixture of both

  17. Motivation • Why do we need it? • Different Measurers & Uses • Appraiser • Assessor • Realtor

  18. Motivation • Appraiser

  19. Motivation • Assessor

  20. Motivation • Realtor

  21. Motivation • Why do we need it? • Differing SF Measuring Methods Cause • Confusion • Inconsistent Results • Conflict

  22. Motivation One of the most common reasons appraisers & realtors get sued is over measuring disagreements

  23. Motivation Consistent measuring methods reduces liability

  24. Motivation • History Behind Z765 Standard • Building Owners & Managers Association (BOMA) • 1915 develop commercial building measurement standard • Current Version: Z65.1-2010 (Commercial buildings) • NAHB • 1994 NAHB research begins work on residential standard • First Version: Z765-1996 • Previous Version: Z765-2003 • New Version: Z765-2013 – Summer 2013

  25. Motivation • Z765 Participants (partial list) • Appraisal Foundation • American Institute of Architects • Consumers Union • Employee Relocation Council (ERC) • Fannie Mae • Freddie Mac • HUD • International Code Council • Manufacturer Housing Institute • National Association of Home Builders (NAHB) • National Association of Realtors (NAR) • Veterans Administration

  26. Motivation • States that use ANSI Z765 (partial list) • Alabama • Arkansas • Colorado • Kentucky • Louisiana • North Carolina

  27. Five Deadly Measurement Sins

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

  29. Five Deadly Measurement Sins • Five Causes of Measurement Errors • Measuring Issues • Equipment Failure • Measuring Wheels • Fiberglass Tape Measurers • Laser Measurers

  30. Five Deadly Measurement Sins • Five Causes of Measurement Errors • Equipment Failure Example • Elongated Wheel

  31. Five Deadly Measurement Sins • Five Causes of Measurement Errors • Measuring Issues • Equipment Failure • Measuring Wheels • Fiberglass Tape Measurers • Laser Measurers • Squaring Error

  32. Five Deadly Measurement Sins • Five Causes of Measurement Errors • Squaring Example #1 • Easy!

  33. Five Deadly Measurement Sins • Five Causes of Measurement Errors • Squaring Example #2 • Easy, Right?

  34. Five Deadly Measurement Sins • Five Causes of Measurement Errors • Missing Gross Living Area (GLA) • Four Season Porches • Bonus Rooms • Excluding Stairs • Hallways (extending to unfinished spaces) • Mother-in-law Units (attached through finished hall)

  35. Five Deadly Measurement Sins • Five Causes of Measurement Errors • Counting Non-GLA • Three Season Porches • Decks • Patios • Non-attached Auxiliary Buildings • ie: Mother-in-law units above a detached garage • Garages • Below-grade • Including Stairs (double dipping)

  36. Five Deadly Measurement Sins • Five Causes of Measurement Errors • Complex Floor Plans • Upper level footprint doesn’t match main footprint • Interior Cavities/Dead-space in walls • Difficult Geometries • Multi-Level Homes • Completely Above-grade • Partially Above-grade

  37. Five Deadly Measurement Sins • Five Causes of Measurement Errors • Inaccessible Measurements • Upper Stories: two and above • Condos • Attached Townhomes • Not accounting for wall thickness

  38. Z765-2013 Components • Components of the ANSI Z765 Standard

  39. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Area Measurement & Calculation • Area Reporting

  40. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Attached Single-Family Residential (SFR) Home • A house that has its own roof & foundation, and is separated by dividing walls that extend from the roof to the foundation. The house does not share utility services with other attached houses.

  41. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Detached Single-Family Residential (SFR) Home • A house with open space on all sides

  42. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Habitable Space • A space in a building for living, sleeping, eating or cooking. Bathrooms, toilet rooms, closets, halls, storage or utility spaces and similar areas are NOT considered habitable spaces. International Building Code (IBC) - 2009

  43. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Habitable Space • A space that is usable year-round. Interpreted definition ANSI-Z765

  44. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Finished Area • An enclosed area in a house that is suitable for year-round use that is consistent with the rest of the house

  45. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Unfinished Area • Sections of the house that do not meet the criteria of finished area

  46. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Grade • The ground level at the perimeter of the exterior finished surface of a house.

  47. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Level • Areas of the house that are vertically within two feet of the same horizontal plane.

  48. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Square Footage (SF) • Area of length X width. Units in square meters using Metric (Standard International) measurements, or square feet using English measurements.

  49. Z765-2013 Components • Components of the ANSI Z765 Standard • Definitions • Finished SF • Same as finished area, although not a Z765 definition.

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