Property Valuation

Economic obsolescence (external obsolescence) in property valuation is caused by:

ADeferred maintenance
BAn outdated floor plan
CFactors outside the property such as nearby nuisances or economic decline✓ Correct
DExcess square footage

Explanation

Economic (external) obsolescence results from factors outside the property itself, such as a nearby industrial plant, declining neighborhood, or broad economic downturns. It is generally incurable.

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