Use these fields to individually depreciate the addition. You can depreciate an addition in three different ways:
Residence Depreciation: Residential Estimator automatically depreciates an addition using the depreciation percentage set on the Depreciation screen if both of the following occur:
The addition type is one of the following: Basic, Basement, Garage or Extra.
You do not individually depreciate the addition using one of the other methods.
Depreciation Percentage: Enter a depreciation percentage to depreciate the addition using this percentage.
Age/Life (Straight Line): Enter an Effective Age and a Typical Life to depreciate the addition using age/life depreciation. Residential Estimator calculates the addition's depreciation percentage as the Effective Age divided by the Typical Life.
Example: If the Effective Age is 10 years and the Typical Life is 50, the addition's depreciation percentage is calculated as 20%.