Property Valuation
What is the significance of the 'effective age' versus the 'actual age' of a building in Oregon appraisal?
ABoth terms mean the same thing in appraisal
BActual age is the chronological age; effective age reflects the apparent condition and utility — a well-maintained building may have an effective age younger than its actual age✓ Correct
CEffective age is used for tax assessment; actual age for insurance
DActual age is always higher than effective age
Explanation
Actual (chronological) age is the years since construction. Effective age is an appraiser's estimate of the apparent age based on condition, maintenance, and utility — it reflects how old the building 'seems' compared to market standards.
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