Valuation & Appraisal第 93 / 120 题

A loss in property value caused by negative factors outside the property, such as a nearby factory or declining neighborhood, is:

a.Functional obsolescence
b.Physical deterioration
c.External (economic) obsolescence
d.Curable depreciation

解析

External or economic obsolescence is a loss in value caused by factors outside the property boundaries, such as adverse neighborhood conditions or nearby nuisances. Because the owner cannot control off-site factors, this type of depreciation is generally incurable. It contrasts with functional obsolescence, which stems from the property itself.

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