Tag: cost approach

The cost approach in real estate estimates property value by calculating the cost to rebuild minus depreciation plus land value. Learn the formula, when it applies, and what to expect on the real estate license exam.

Functional obsolescence in real estate is a loss in property value due to outdated design, layout, or features. Learn curable vs incurable types, common examples, and what to expect on the real estate license exam.

Appraisal methods determine the estimated market value of real property using standardized methodologies. Learn the 3 approaches to value and what to expect on the real estate license exam.