Actual Cash Value

Actual cash value, or ACV, is the cost to replace a building on the same parcel with a new building of like-kind and quality, minus depreciation due to age, use, or neglect. Loss in value is not considered simply due to outdated design. In most situations, ACV is a reasonable approximation of market value.

This lesson contains more information on depreciation and how to select an appropriate depreciation level in the SDE Tool.

 

 

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For more information, refer to: