Understanding Square Footage in North Carolina

A professional appraiser with gray hair and a beard measures the interior of a bright, neutral-toned room using a yellow tape measure. Dressed in a brown blazer and blue shirt with a tie, he takes notes on a clipboard, surrounded by natural light and hardwood floors.

Whether you're buying or selling a home in Raleigh, Durham, Cary, or Chapel Hill, one number can make a big difference in how a property is priced, appraised, and marketed: square footage.

But what exactly counts as square footage in North Carolina? And how is it determined?

In this post, you'll learn how square footage is measured, what’s included (and what’s not), and why understanding the North Carolina Real Estate Commission's (NCREC) guidelines is essential to a successful transaction.

Why Square Footage Matters in North Carolina Real Estate

Accurate square footage affects everything from appraised value and market comparables to buyer expectations and contract negotiations.

In North Carolina, brokers aren’t legally required to report a home’s square footage. But if they do (and they typically do in MLS listings), the information must be accurate and supported by proper measurement methods. Failure to report correctly can lead to legal issues, buyer disputes, or even disciplinary action by the NCREC.

What Qualifies as Heated Living Area (HLA) in North Carolina?

According to the NCREC Residential Square Footage Guidelines, a space must meet all of the following criteria to be counted as Heated Living Area (HLA):

✅ Must Be Permanently Heated

The space must be heated by a permanently installed system, such as central HVAC. Fireplaces, wood stoves, and portable heaters don’t count.

✅ Must Be Finished

Walls, ceilings, and floors must be finished with typical interior materials (like drywall, paneling, tile, or hardwood).

✅ Must Meet Height Requirements

The ceiling height must be at least seven feet. For sloped ceilings (like in finished attics), at least half the room must meet the seven-foot minimum, and no part of the room can be less than five feet high.

✅ Must Be Directly Accessible

The space must connect to the rest of the home through a finished, heated area like a hallway or interior stairway.

What Doesn’t Count Toward Square Footage?

Just because a space is inside the home doesn’t mean it counts toward total square footage. Common excluded areas include:

  • Garages and unfinished basements

  • Sunrooms, porches, or additions without permanent heating

  • Rooms with ceilings under seven feet (with limited exceptions)

  • Detached structures, even if finished and heated

  • Bay windows that don’t extend to the floor

  • Exterior areas like balconies, decks, and carports

For sellers, listing these areas as HLA could lead to complaints. For buyers, misunderstanding what counts could lead to overpaying or being misled.

NCREC Guidelines vs. ANSI Standards: What's the Difference?

Brokers in North Carolina may use NCREC’s guidelines or ANSI (American National Standards Institute) standards when measuring homes. Here's the key difference:

  • NCREC: Allows all heated areas (above or below grade) to be reported as total square footage.

  • ANSI: Requires that below-grade spaces (like finished basements) be reported separately from above-grade areas.

This can cause confusion when a buyer compares the MLS listing to an appraisal, which often uses ANSI standards.

Tips for Buyers and Sellers: Protect Your Investment

🏡 If You’re Buying:

  • Ask your agent: “How was the square footage measured?”

  • Clarify if the square footage includes only permitted and heated living areas

  • Walk through the home with an eye for non-permitted additions or rooms that may not count

🧾 If You’re Selling:

  • Don’t rely on old appraisals or tax records

  • Have your home professionally measured or work with an agent trained in NCREC standards

  • Disclose any unpermitted additions or areas that don’t meet criteria

FAQ: What People Are Asking About Square Footage in NC

❓ How do I know if a room counts in my home's square footage?

If it’s heated by a permanent system, finished, has 7-foot ceilings, and connects directly to the rest of the house, it likely qualifies.

❓ Why is the square footage on the appraisal different than the MLS?

Appraisers often use ANSI standards, which report finished basements separately. MLS square footage may combine them under NCREC guidelines.

❓ Do finished basements count in NC square footage?

Only if the space meets HLA requirements and your broker uses NCREC guidelines. ANSI standards will separate it out.

❓ Can a sunroom or enclosed porch be included?

Only if it’s permanently heated, fully finished, and accessible from the main living area.

Ready to Buy or Sell in the Triangle? Let’s Make It Seamless

Navigating square footage in North Carolina doesn’t have to be confusing—not when you work with the right agent.

As a full-time REALTOR® serving Raleigh, Durham, Cary, Chapel Hill, and surrounding Triangle communities, I make sure my clients fully understand every square foot they’re buying or selling.

If you’re planning to make a move, I’d love to help you do it with confidence.

👉 Reach out today to schedule a consultation or ask your square footage questions. I'm here to help.

Thanks for reading!

Brandon Yopp