Property Valuation
Which type of depreciation is considered incurable because the cost to fix it exceeds the value it would add?
APhysical deterioration — curable
BFunctional obsolescence — curable
CExternal obsolescence✓ Correct
DDeferred maintenance
Explanation
External (economic) obsolescence is always considered incurable because it results from factors outside the property, such as nearby industrial development or a declining neighborhood, which the owner cannot control.
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