Property Valuation
In New Mexico, 'economic obsolescence' (also called external obsolescence) is caused by:
ADeferred maintenance on the property
BForces outside the property, such as a new highway, nearby industrial use, or neighborhood decline✓ Correct
COutdated floor plans within the property
DAge and physical wear on the structure
Explanation
Economic (external) obsolescence is a loss in value caused by factors external to the property — neighborhood decline, unfavorable rezoning nearby, new flight paths, or economic downturns. It is typically incurable.
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