How do appraisers typically determine the effective age of a property?

Appraisers determine the effective age of a property primarily by evaluating its condition and upkeep in relation to its chronological age. Effective age reflects the current state of a property and considers factors such as renovations, maintenance, and overall functionality. For instance, a property that has been well maintained or recently updated may have an effective age that is significantly less than its actual chronological age, indicating that it is in better condition than one might expect for its age. This measurement helps appraisers make more accurate assessments of a property's value, as it considers the physical attributes and economic factors influencing the property's utility and market appeal.

In contrast, the other approaches outlined would not provide the same level of insight into a property's effective age. For example, comparing to similar properties may only offer a general market perspective rather than assessing the specific condition of the subject property. Calculating depreciation rates focuses more on financial aspects without taking into account the condition. Finally, analyzing tax records and appraisal history can provide background information but does not directly assess the current condition and maintenance of the property, which is critical in establishing effective age.