Glossary of Terms

Above Grade

In real estate appraisal terminology, "above grade" refers to the portion of a building or structure that is above ground level. It typically includes all floors or levels of a building that are not below the ground or basement level.

When conducting an appraisal, appraisers often distinguish between above-grade and below-grade areas of a property because these areas can have different values and characteristics. Above-grade square footage is generally considered more desirable and valuable than below-grade square footage because it typically includes living spaces, bedrooms, kitchens and other areas that are more commonly used and preferred by occupants.

Appraisers take into account the size, layout, condition and quality of above-grade areas when determining the value of a property. They may also compare the above-grade square footage of the subject property to similar properties in the area to assess its market value accurately.