Property Valuation
What is external obsolescence in real estate appraisal?
AOutdated features within the building
BLoss in value caused by factors outside the property, such as nearby industrial uses or economic decline✓ Correct
CPhysical wear and tear on the exterior
DDamage from weather events
Explanation
External (economic) obsolescence is loss in value caused by factors outside the property, such as nearby nuisances, economic decline, highway proximity, or market conditions. It is generally incurable.
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