Definition of "Incurable depreciation"

David Landsman real estate agent

Written by

David Landsmanelite badge icon

Coldwell Banker

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.

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Real Estate Terms

Part of a building that is connected to but leads away from the main structure. ...

A corporation that owns housing units and whose tenants purchase shares in the corporation equivalent to the value of their housing unit. Also called co-ops. ...

Having two families live in a residence designed for only one family. This violates single-family residence zoning. ...

Use of a parcel of land that will produce the greatest current value. ...

Is a stockholder-owned corporation known as Freddie Mac. Freddie Mac purchases investment-quality mortgage from lenders and packages from lenders and packages them as securities which are ...

A report required by the Interstate Land Sale Act for the sale of subdivisions having 50 or more lots. It is filed with the Federal Department of Housing and urban Development's Office of ...

The right to demand that title be conveyed upon payment of the purchase price. ...

Person protecting himself from risk or negative consequences, such as by taking out homeowner's insurance. Material used to block or restrain something from entering a house, ...

Listing of all of the plats of subdivided plots in a jurisdiction showing the location, boundaries, and plat owners. A plat book normally shows other improvements including roads, blocks, ...

Popular Real Estate Questions