A home is located in a neighborhood where homeowners on the block have failed to maintain their properties. This is an example o

Question

N76 [4]

3 years ago

5

A home is located in a neighborhood where homeowners on the block have failed to maintain their properties. This is an example o

f _________. curable external obsolescence. incurable economic obsolescence. functional obsolescen

Social Studies

1 answer:

vichka [17] · Answer 1 · 2022-05-09T20:00:21+03:00

Answer:

Answer is incurable economic obsolescence.

Explanation:

An incurable economic obsolescence is a situation whereby the value of benefit of a thing is less compared to the cost .

For example, when a big factory is being established in an area where people are residing or area planned to be a residential area will loss its value, because people will not want to live in an area where a factory is located. This will eventually drive the residents away and prevent future land buyers to buy from the area.

In the case highlighted in the question, the value of the building is depreciating and this will prevent people to rent the house from the homeowners, and people will buy at very low price if they are planning to sell the houses.