Property Valuation
Economic obsolescence (external obsolescence) is a loss in value caused by:
APhysical wear and deterioration of the structure
BOutdated design features or floor plan deficiencies
CFactors outside the property, such as a nearby landfill or highway noise✓ Correct
DDeferred maintenance by the property owner
Explanation
Economic (external) obsolescence results from factors outside the property's boundaries, such as environmental nuisances, nearby commercial development, or economic decline in the area. It is generally considered incurable because the owner cannot control external factors.
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