Property Valuation
Functional obsolescence in a Florida property occurs due to:
APhysical wear and tear over time
BExternal negative influences such as a nearby highway
COutdated design, layout, or features that reduce market appeal✓ Correct
DFlood zone designation increasing insurance costs
Explanation
Functional obsolescence results from deficiencies or super-adequacies within the property itself — outdated floor plans, outdated fixtures, lack of modern amenities, or poor design. It is not caused by physical deterioration or external factors.
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