What does price per square foot actually tell you?
Price per square foot is the price divided by an interior area. It is one way to notice size. It does not describe condition, layout, view, floor, outdoor space, parking, storage, strata fees, or what the area measurement includes.
Why the answer is not always the same
Two properties can show different prices per square foot because the areas are not measuring the same thing, or because the homes are not interchangeable.
A lower figure is not automatically the more suitable purchase. A higher figure is not automatically the less suitable one.
What changes the answer
What is included in the area, the condition and layout, the floor and outlook, the fees and restrictions in a strata, and what the buyer or investor is comparing it with.
For an investment, the figure also says nothing by itself about rent, vacancy, financing, or carrying costs.
What I would examine
I would ask which area was used, what it leaves out, and which other properties are actually similar enough to sit beside it.
Then I would put that beside the client’s objective. The number does not make the decision.
Hypothetical illustration
This is an illustration, not a listing and not a recommendation. Two homes at the same price, with different interior areas, would show different prices per square foot. The lower figure still would not say which home fits a particular person.
This page is general information. It is not a valuation, and it is not a recommendation to buy, sell, or invest.