Property Valuation
Economic (external) obsolescence is caused by:
APoor floor plan design
BDeferred maintenance
CFactors outside the property, such as neighborhood decline or nearby highway construction✓ Correct
DOutdated HVAC systems
Explanation
Economic (external) obsolescence results from factors outside the property itself — such as declining neighborhood conditions, proximity to undesirable uses, or economic downturns. It is generally incurable.
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