Deferred maintenance is associated with which type of degradation?

Deferred maintenance refers to the issues that arise when necessary repairs and maintenance on a property are postponed or neglected. This can lead to physical deterioration of the property, which is characterized by a decline in the building's condition due to age, wear and tear, and the lack of timely updates or repairs.

Physical deterioration is directly related to the actual physical state of the property; it encompasses various aspects such as the condition of the roof, plumbing, heating and cooling systems, and general structural integrity. When these elements are not maintained, it can lead to a decrease in the property's overall value and usability.

In comparison, other forms of degradation, such as functional obsolescence, relates more to the inadequacy of a property's design or layout to meet current demands, while economic obsolescence is associated with external factors affecting property value, such as changes in the neighborhood or economic conditions. Market depreciation, on the other hand, covers the general decline in value due to broader market trends rather than specific maintenance issues. Thus, the association of deferred maintenance is best described as physical deterioration.