Property Valuation
Functional obsolescence is a loss in value caused by:
APhysical deterioration of the structure
BExternal economic factors in the market
COutdated or inadequate design features✓ Correct
DSoil contamination on the property
Explanation
Functional obsolescence is a loss in value due to outdated or inadequate design features, such as a house with only one bathroom, small closets, or an outdated floor plan that doesn't meet current buyer expectations.
Related Idaho Property Valuation Questions
- What is 'eminent domain appraisal' in Idaho?
- Gross rent multiplier (GRM) is calculated by dividing the:
- What is the 'principle of anticipation' in Idaho real estate valuation?
- Economic (external) obsolescence is caused by:
- What is 'depreciation' in the cost approach to appraisal and what are its three forms?
- What is the purpose of a 'drive-by' or 'exterior-only' appraisal in Idaho?
- What is 'absorption rate' in Idaho real estate market analysis?
- What is 'before-and-after' method in Idaho eminent domain valuations?
Practice More Idaho Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Idaho Quiz →