Incurable Depreciation
Definition of "Incurable depreciation"
Occurs when the cost of repairing a component of a building structure exceeds the value of the structure and is therefore uneconomical to perform. For example, because of extensive settling, the foundation of an old home crumbled and had to be replaced. However, the cost of replacing the foundation with the structure on it exceeded the value of the structure. Therefore, it was considered incurable depreciation and the building was condemned and razed.
When purchasing a property that is in need of a lot of work, it is a good idea to have a surveyor, engineer and contractor assess the amount and cost of the work to know the true value of the property.
Popular Real Estate Terms
(1) Type of loan where the final payment is substantially greater than the previous payments; also termed partially amortized loan. A debt agreement might stipulate a balloon payment when ...
Same as term cape cod colonial house: Early American style 1 1/2 story house with a steep gable roof covered with shingles. The bedrooms are on the first floor, but the attic is often ...
Material installed at the roof's edge for support. ...
Foreclosure sale enable in those states permitting the use of a power of sale clause to be inserted into a mortgage or deed of trust empowering the mortgagee to advertise and sell a ...
Relationship between individuals or entities whereby rights given to one are returned in kind to the other. An example is where one person has the right to use facilities of another with ...
Regular pattern of expansion (recovery) and contraction (recession) in total economic activity surrounding a growth trend, including the impact of economic variables such as employment and ...
Act of being a conservator. ...
Property description contained in a title deed. A deed description is intended to inform a reasonable person where property is located. It can be described by metes and bounds, by ...
In everyday discourse, the term specifications describe various properties and features. They can be attributed to products, services, objects, and industries, such as real estate. What do ...
Have a question or comment?
We're here to help.