Property Valuation
What is economic obsolescence in Iowa appraisal practice?
APhysical deterioration of the structure
BOutdated building design or floor plan
CLoss in value caused by external factors outside the property✓ Correct
DDepreciation from worn-out mechanical systems
Explanation
Economic (external) obsolescence is caused by factors outside the property's boundaries, such as a nearby industrial plant, highway noise, or neighborhood decline. It is typically incurable.
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