Property Valuation
Functional obsolescence in a property refers to:
APhysical deterioration from age and use
BA loss in value due to design flaws, outdated features, or poor layout within the property✓ Correct
CExternal factors outside the property reducing its value
DDepreciation caused by environmental contamination
Explanation
Functional obsolescence is a loss in value caused by deficiencies or superadequacies in the property's design or features, such as an outdated kitchen, insufficient bathrooms, or an unusual floor plan.
Related Nebraska Property Valuation Questions
- A competitive market analysis (CMA) performed by a real estate agent differs from a formal appraisal because a CMA:
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