Property Valuation
Economic obsolescence (external obsolescence) is caused by:
APhysical deterioration of the building's structure
BOutdated floor plans or design features
CFactors outside the property boundaries such as nearby highway noise or economic decline of the area✓ Correct
DDeferred maintenance by the owner
Explanation
Economic (external) obsolescence results from factors outside the property boundaries, such as proximity to a noisy highway, declining neighborhood conditions, or adverse zoning changes. It is typically incurable.
Related New York Property Valuation Questions
- In New York, 'assessed value' for property tax purposes and 'appraised value' (market value) differ in that:
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- Plottage value refers to:
- When an appraiser says a property has 'curable physical deterioration,' they mean:
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