How to calculate price per square foot
Price per square foot lets you compare homes of different sizes on the same basis.
The formula
Price per square foot = price ÷ square feet
Worked example
A $400,000 home with 2,000 square feet costs $200 per square foot.
How to use this calculator
Enter a home’s price and its square feet. The price per square foot calculator divides one by the other. To compare two homes side by side, enter the price and size of the second home as well. Use the same kind of area for both, or the comparison will be off.
What the result means
The result is the average price of each square foot of the home. On its own it says little. It becomes useful when you set it beside similar homes that sold recently in the same area. A home priced well above nearby sales per square foot needs a reason, such as a better lot, newer finishes or a better location. A home priced well below them may need work.
More examples
Comparing two homes
Home A is $400,000 for 2,000 square feet, which is $200 per square foot. Home B is $450,000 for 2,400 square feet, which is $187.50 per square foot. Home B costs $50,000 more in total but $12.50 less per square foot.
Estimating a price from nearby sales
You can run the formula the other way. Suppose three similar homes nearby sold for $205, $210 and $215 per square foot. The average is $210. For a 1,900 square foot home, that points to about $210 × 1,900 = $399,000. Treat it as a starting point, not an appraisal.
Price by size at the same total
| Price | Square feet | Price per square foot |
|---|---|---|
| $400,000 | 1,600 | $250.00 |
| $400,000 | 2,000 | $200.00 |
| $400,000 | 2,500 | $160.00 |
Price per square meter
One square foot is 0.092903 square meters. To convert, divide the price per square foot by 0.092903. $200 per square foot is about $2,153 per square meter.
What changes the result
- Location. The price includes the land, so the same house costs more per square foot on a more valuable lot.
- Size. Larger homes usually cost less per square foot, as the table shows.
- Condition and finishes. A renovated home sells for more per square foot than a dated one of the same size.
- What is counted as area. Including a garage or unfinished basement makes the figure look lower.
Common mistakes
- Comparing homes in different neighborhoods or of very different ages.
- Using list prices. Sold prices show what buyers paid.
- Mixing area types, such as finished living area for one home and total area for another.
- Ignoring the lot. Two homes of the same size can differ a lot in land value.
- Comparing a resale price per square foot directly with a construction cost per square foot. Construction cost leaves out the land.
Related calculators
If you need the area first, measure it with the square footage calculator. For metric listings, use the square feet to square meters converter. Thinking of building? The cost to build a house calculator works from cost per square foot.
Frequently asked questions
What is a good price per square foot?
It depends entirely on location. Compare against recently sold homes nearby that are similar in age and condition.
Why do smaller homes cost more per square foot?
Kitchens, bathrooms and land cost about the same whatever the size, so they weigh more in a small home.
Which square footage should I use?
Finished, heated living area. Garages and unfinished basements are usually excluded.
Does price per square foot include the land?
Yes. The sale price covers the house and the lot, so land value is built into the figure.
Can I use price per square foot to value my home?
As a rough estimate. Multiply your living area by the average price per square foot of similar homes sold nearby. An appraiser or agent will also adjust for condition, lot and features.
How do I convert price per square foot to price per square meter?
Divide by 0.092903. For example, $200 per square foot is about $2,153 per square meter.
Is a lower price per square foot always a better deal?
No. A low figure can reflect a worse location, a poor layout or repairs the home needs. Look at why it is low before you decide.