During underwriting, an appraiser identifies functional obsolescence in the subject home. What does functional obsolescence refer to?

a.A lien recorded against the property
b.A decline in the overall neighborhood economy
c.Physical wear from age and use
d.A loss in value from outdated design or features that reduce usefulness

Giải thích

Functional obsolescence is a loss in value caused by outdated or poorly designed features, such as an awkward floor plan or too few bathrooms. Physical deterioration is wear and tear, and external obsolescence comes from outside factors like a declining neighborhood.

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