Property Valuation

Which of the following would be classified as functional obsolescence in a property appraisal?

AA cracked foundation
BA four-bedroom house with only one bathroom✓ Correct
CA property located next to a landfill
DPeeling exterior paint

Explanation

Functional obsolescence involves design features that are inadequate, outdated, or excessive for the market — such as too few bathrooms for the number of bedrooms — reducing the property's appeal relative to market expectations.

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