Property Valuation
Which factor would MOST LIKELY cause a property's value to DECREASE?
ANew schools being built nearby
BRezoning adjacent land for light industrial use in a residential neighborhood✓ Correct
CImprovements in transportation access
DDeclining mortgage interest rates
Explanation
Rezoning adjacent land for light industrial use in a residential neighborhood creates external (economic) obsolescence. Industrial uses (noise, traffic, aesthetics) typically reduce surrounding residential property values.
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