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Topic 9. Effective Age
February 22, 2019
This Chapter has been revised in its entirety.
a. Estimating Effective Age
While the actual age is the number of years since the home was constructed, the effective age reflects the condition and functional utility of the property. For example, remodeling will likely decrease the effective age of a home while a lack of maintenance can increase the effective age, possibly to a number greater than the actual age.
b. Comment if Significant Change From Actual Age
The appraiser must state the effective age as a single number and include comments if the effective age differs significantly from the actual age.
c. Completed Repairs Considered
Since recommended repairs are included in value on origination appraisals, the effective age should reflect the condition of the property as repaired.