Which of the following factors can create Economic Obsolescence?

Economic obsolescence refers to a loss of value in a property due to external factors that affect its appeal and potential use in the market. The correct answer encompasses all the listed factors because each can contribute to a decline in property values through economic influences unrelated to the physical condition of the properties themselves.

Rapid market fluctuations can create uncertainty and volatility in property values, impacting investor confidence and potentially leading to reduced demand for properties within that market. This can directly lead to economic obsolescence as property owners may struggle to maintain value when the market experiences instability.

Changes in zoning laws can significantly alter the potential uses of a property, thus affecting its value. If new zoning regulations limit what can be done with a property or change its surroundings in a way that makes it less desirable, this can lead to a reduction in economic viability and therefore, economic obsolescence.

Declining neighborhood conditions typically involve various socio-economic issues such as increased crime rates, a drop in local businesses, or lack of investment in infrastructure. When surrounding areas degrade, the properties within that neighborhood also tend to lose value, again due to external economic pressures rather than the physical elements of the properties themselves.

Since each of these factors—market fluctuations, zoning changes, and neighborhood decline—can independently lead