Functional obsolescence is when something is "out-of-date" or not up to current standards, or when it has been "over improved" to the point where the market won't pay the full cost of the improvement. It does not have to do with how well something is maintained.
These are questions that the above text answers:
1. What is functional obsolescence in real estate?
2. How does functional obsolescence affect property values?
3. What are some examples of functional obsolescence?
4. Does functional obsolescence depend on the maintenance of a property?
5. Can functional obsolescence occur when a property is over-improved?
6. What is the difference between functional obsolescence and being out-of-date?
7. How does functional obsolescence impact the market value of a property?
8. Is functional obsolescence a result of not meeting current standards?
9. Can functional obsolescence be repaired or fixed?
10. Does functional obsolescence affect the cost of improvements made to a property?