Property Valuation
Economic obsolescence (external obsolescence) is caused by:
AWorn-out mechanical systems
BOutdated floor plan or design
CFactors external to the property such as a nearby industrial plant✓ Correct
DDeferred maintenance by the owner
Explanation
Economic (external) obsolescence results from factors outside the property boundaries, such as a nearby nuisance, neighborhood decline, or adverse market conditions. It is generally incurable.
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