How to determine the accumulated wear and tear of a building. Additive and multiplicative models for calculating wear. The village of Shchepetnevka: one hundred percent worn out

Rest for wear and tear Under the dank “winter” rain you can’t really walk, all that was left was to wrap yourself in a blanket in the cold room of the Podlipki sanatorium and turn on one of the three working TV programs (this is near Moscow, near Mytishchi!). Meeting different people - both in the dining room and in

58. Work hard

58. Work hard I work 24 hours a day: I analyze, think, compose, constantly write down... I can create my own office anywhere in the world, because it is where my head is. But it’s better to have my computer nearby. And the Internet. And favorite books, and films, and music... And

On the valuation date, the full replacement cost of buildings will differ from their market value on the same date. The main reason is the loss of value under the influence of various factors causing the aging of the property. The deterioration of the building is due to the deterioration of its physical condition, the discrepancy between the functional characteristics of modern concepts of the real estate market, and the influence of the external conditions of the operation of the object on its value. Since the listed factors are interrelated, their impact on cost is assessed comprehensively.

By general cumulative wear and tear, appraisers understand the loss of value of the property being valued for all possible reasons. The amount of total cumulative depreciation represents the difference between the market value of buildings on the valuation date and its full replacement cost, calculated either as reproduction cost or as replacement cost.

Depreciation (I) is usually measured as a percentage, and the monetary expression of depreciation is depreciation (O). Depending on the reasons causing the depreciation of the property, the following types of depreciation are distinguished:

• -Physical deterioration;
• -Functional;
• -External.

Physical deterioration is the loss of value of buildings as a result of their use and exposure to natural forces.

There are two types of physical wear and tear:

Arising under the influence of operational factors

Arising under the influence of natural and natural factors.

There are four main methods for calculating the physical deterioration of buildings:

Expert.

Method for calculating the life of a building.

Cost.

Regulatory (or accounting).

The expert method for calculating physical wear and tear is based on creating a defect list and determining the percentage of wear of all structural elements of a building or structure. The expert method is the most accurate, but also the most labor-intensive.

Physical wear and tear of building elements is calculated using the formula:

Example. Determine the physical wear and tear of a residential building if it is known that its inspection revealed physical wear and tear of all structural elements:

foundations - 10%;

walls - 15%;

overlaps - 20%;

roofing - 10%;

finishing coatings - 30%;

internal plumbing and electrical devices - 50%;

others - 25%.

Thus, the physical wear and tear of the building is 23.25%. In order to move on to the valuation of physical depreciation, 23.25% * replacement cost = depreciation in monetary terms is required.

2. . Method for calculating the life of a building.

Economic life is the time during which an object can be used for profit. During this period, improvements contribute to the value of the property; The economic life of a property ends when improvements made do not contribute to the value of the property due to its general obsolescence.

The physical life of an object is the period during which the building exists and can be lived or worked in. The physical life span ends when the object is demolished.

Actual age is the period that has passed from the date the object was put into operation to the date of assessment.

Effective age is based on an assessment of the appearance, technical condition, and economic factors affecting the value of the object. Effective age is the age that corresponds to the physical condition of the property and takes into account the possibility of its sale. If, after major renovations, a brick house that is 80 years old looks as if it were 15 years old, then the effective age of that house will be 15 years.

The remaining economic life of the building is the period from the date of valuation to the end of the economic life of the property. This period is typically used by the appraiser to estimate future earnings. Repairing and upgrading the property increases the remaining economic life.

Standard service life (or typical physical life) is the service life of buildings and structures determined by regulations.

The relationship between depreciation, replacement cost, effective age and typical economic life is expressed by the following relationship:

where I is wear;

ВС - replacement cost;

EV - effective age;

EZh - economic life span.

Sometimes, for approximate calculations of wear and tear, appraisers use the ratio of the chronological age to the standard service life of the building, expressed as a percentage.

The disadvantage of this method is that all types of wear are summed up, i.e. It is difficult to specifically identify each type of wear.

Example. Determine the physical wear and tear of a residential building if it is known that the replacement cost, actual age and total physical life of its structural elements are respectively: foundations - 1,200 thousand rubles, 10 years, 15 years; walls - 400 thousand rubles, 5 years, 10 years; ceilings - 300 thousand rubles, 6 years, 15 years; others - 900 thousand rubles, 1 year, 10 years.

Let's determine the amount of physical wear and tear. Results of assessing the physical wear of elements:

Thus, the physical wear and tear of the building is 1210 rubles. or 43.2%.

Determining the amount of correctable physical wear (it is also called deferred repair, since it is assumed that the typical buyer will make immediate repairs to restore the normal operational characteristics of the structure: cosmetic repairs, restoration of areas of leaking roofing, repair of engineering equipment, etc.) is carried out using cost or expert method of calculating physical wear and tear.

Irreparable physical wear and tear corresponds to items for which repair is currently practically impossible or economically impractical. The amount of this type of wear and tear is determined based on the difference between the total replacement (or replacement) cost and the amount of removable physical wear and tear.

For the purpose of calculating wear, elements of a structure that have irreparable physical wear are divided into long-lived and short-lived.

For long-lived elements, the expected residual life coincides with the residual economic life of the entire structure. Short-lived elements have less residual economic life than the entire structure.

To assess irreparable physical wear and tear in short-lived elements, the method of calculating the life of a building is used: the difference between the total replacement (or replacement) cost of the element and the amount of correctable wear of the element is multiplied by the ratio of the actual age to the total physical life of the element.

In this case, the overall physical life of the element is determined from reference data, taking into account periodic repairs and maintaining normal operational characteristics.

To assess irreparable physical wear and tear in long-lived elements, the method of calculating the lifespan of a building is also used: the amount of correctable physical wear and tear and the sum of the replacement cost of short-lived elements with irreparable physical wear are subtracted from the total replacement (or replacement) cost and the result is multiplied by the residual replacement (or replacement) cost ) long-lived elements, as well as the relationship of actual age to the overall physical life of the building.

The overall physical life of a building is determined depending on the type of main structural elements for different categories of buildings according to durability. The classification of residential and public buildings by durability is given in the regulatory literature.

Example. Determine the physical deterioration of a residential building

1. Based on the estimate documentation, we will determine the cost of new construction to assess accumulated wear and tear:

Name of building elements Replacement cost, thousand rubles

Direct costs (materials and equipment, labor, overhead and contractor's profit),

incl. 143400

installation of foundations 4,900

installation of external walls 50,000

floor installation 2 500

roofing 2 500

installation of partitions 32,500

installation of suspended ceilings 6,000

installation of floors 5,000

interior and exterior decoration 6,000

sewerage system 2,000

power supply system 3,500

heating system 13,500

ventilation and air conditioning 3,500

Indirect costs 10,000

Entrepreneur's profit 21,500

Total replacement cost 174,900

2. Determine the amount of correctable physical wear:

Thus, the cost of correctable wear and tear is 3,000 thousand rubles.

2. Let’s determine the amount of irreparable physical wear in short-lived elements

Thus, the cost of irreparable physical wear in short-lived elements is 22,967 thousand rubles, the replacement cost of short-lived elements with irreparable physical wear is 33,000 thousand rubles.

3. Let us determine the amount of irreparable physical wear in long-lived elements:

Thus, the cost of irreparable physical wear and tear in long-lived elements is 22,224 thousand rubles.

• 3. Let’s determine the amount of total physical wear and tear of the building:
• 3000+22967+22224=48191 thousand. rub.

Thus, the cost of the total physical depreciation of the building is 48,191 thousand rubles. or 27.6%.

4. Normative method. The normative (or accounting) method for determining the physical deterioration of buildings involves the use of Unified standards of depreciation for the complete restoration of fixed assets in the Russian Federation, approved by Resolution of the Council of Ministers of the USSR of October 29, 1990 No. 1072

Functional wear and tear is a loss in value caused by the fact that an object does not meet modern standards: in terms of its functional usefulness, architectural and aesthetic, space-planning, design solutions, livability, safety, comfort and other functional characteristics.

The following types of functional wear are distinguished:

• - correctable wear (if the additional value received exceeds the cost of restoration);
• - irreparable wear and tear (if the additional value received does not exceed the cost of restoration).

Correctable functional wear is measured by the cost of its correction and is caused by:

• - shortcomings that require adding elements;
• - deficiencies requiring replacement or modernization of elements;
• - “super-improvements.”

Deficiencies requiring addition of elements - building elements and equipment that are not present in the existing building and without which it cannot meet modern operating standards.

A quantitative measure of correctable functional deterioration due to deficiencies requiring addition is the difference between the cost of making the required additions at the time of the assessment and the cost of making the same additions if they had been made during construction of the property being assessed.

Deficiencies requiring replacement or modernization of elements - building elements and equipment that are in the existing building and still perform their functions, but no longer meet modern operating standards.

Correctable functional deterioration due to items requiring replacement or modernization is measured as the cost of existing elements, taking into account their physical deterioration, minus the cost of returning materials, plus the cost of dismantling existing elements and plus the cost of installing new elements. In this case, the cost of returning materials is defined as the cost of dismantled materials and equipment when used at other facilities.

“Super Improvements” are building elements and equipment that are present in an existing building and whose availability is currently inadequate to modern operating standards.

Correctable functional wear and tear due to over-improvement is measured as the current replacement cost of the over-improvement items, minus physical wear and tear, plus the cost of dismantling and minus the return of materials, if any.

If the cost of construction is determined as replacement cost, then there are some peculiarities when determining correctable functional wear and tear. Since in this case there are no “super improvements”, there is no need to determine the share of physical wear and tear that falls on them. However, the cost of fixing “over-improvements” still needs to be considered.

Example. Determine the correctable functional wear and tear of an office building if it is known that:

• 1. modern standards require the installation of an air conditioner in a building, the cost of installation of which in an existing building is 150 thousand rubles, and the cost of installation in the same building during its construction is 110 thousand rubles.
• 2. the electrical fittings installed in the building do not meet modern market standards, while the cost of the existing electrical fittings included in the replacement cost is 350 thousand rubles, the physical wear and tear of the existing electrical fittings is 200 thousand rubles, the cost of dismantling the existing electrical fittings is 100 thousand rubles ., the cost of returning materials is 10 thousand rubles, the cost of installing new electrical fittings is 190 thousand rubles.
• 3. the building has a warehouse and an analysis of the best and most effective use has shown that currently it is advisable to use this area as an office space, while the current replacement cost of the warehouse space is 800 thousand rubles, physical wear and tear is 50 thousand rubles, the cost of warehouse liquidation is 80 thousand rubles.

• 1. Let’s determine the amount of correctable functional wear caused by deficiencies that require adding elements (in our case, an air conditioner):
• 150-110=40 t.r.
• 2. Let’s determine the amount of correctable functional wear caused by deficiencies, shortcomings that require replacement or modernization of elements (in our case, electrical fittings):
• 350-200-10+100+210=450 tr.
• 3. Let us determine the amount of correctable functional wear caused by “super-improvements” (in our case, items that are functionally inherent in the warehouse):
• 800-50+80=830 tr.

Thus, the cost of correctable functional wear and tear of the building is:

40+450+830=1320 tr.

External (economic) depreciation is the depreciation of an object due to the negative influence of the external environment in relation to the object of assessment: the market situation, easements imposed on a certain use of real estate, changes in the surrounding infrastructure and legislative decisions in the field of taxation, etc. External wear and tear of real estate, depending on the reasons that caused it, in most cases is irreparable due to the unchanged location, but in some cases it can “remove itself” due to a positive change in the surrounding market environment.

The following methods can be used to assess external wear:

• - method of capitalizing loss of income related to external influences;
• - a method for comparing sales of similar objects with and without external influences.

If there is sufficient data, the second approach is more preferable.

The income loss capitalization method involves determining the income loss of the entire property due to external influences. The building's portion of the loss is then capitalized at the capitalization rate for buildings.

Example. Determine the external (economic) wear and tear of the warehouse, if it is known that: net income without taking into account external factors after eliminating correctable physical and functional wear and tear is 25,000 thousand rubles; current net income after eliminating correctable physical and functional wear and tear - 21,000 thousand rubles; the cost of land is 5,000 thousand rubles, the capitalization rate for land is 10%; The capitalization rate for land is 15%.

• 1. Let’s determine the loss of net income due to external factors:
• 2500-2100=400 t.r.
• 2. Determine the net income related to the building:
• 2100-500*0.1=1600 tr.
• 3. Determine the loss of net income related to the building:
  • (1-500/2100)*400=305 tr.

Thus, the cost of external (economic) depreciation of the warehouse is:

305/0.15=2035 tr.

The paired sales method is based on the analysis of available price information on recently sold similar properties (paired sales). It is assumed that the objects of paired sale differ from each other only by the economic depreciation identified and related to the object of assessment

Example. Determine the external (economic) wear and tear of a building located far from the bus stop, if it is known that: the sale price of a similar object located far from the bus stop is 400 thousand rubles; the sale price of an analogue object located close to the clothing market is 250 thousand rubles; the difference in physical and other differences between analogous objects is 40 thousand rubles.

• 1. Determine the cost of external (economic) wear and tear
• 400-250-40=110 t.r.

The total (cumulative) wear and tear of an object is determined by summing up all three types of wear and tear: physical, functional and external.

Accumulated depreciation is characterized by the loss of value of improvements from all possible causes.

Accumulated depreciation is measured by the difference between the cost of construction of similar improvements on the appraisal date and the market value of the appraised improvements. Cumulative (accumulated) depreciation includes three types of depreciation, namely:

Physical,

Functional,

External.

Physical deterioration- this is a decrease in the value of a building due to deterioration in the physical and technical condition (strength, rigidity, attractiveness, etc.) of its individual structural elements or the entire building as a whole.

Physical wear and tear may be associated with the quality of construction, building materials used, operating conditions of the facility, climatic conditions, regularity of routine repairs, etc.

Schedule. A curve reflecting the process of accumulation of physical wear.

I is the period of intensive accumulation of wear associated with the start of operation of the facility,

II - period of stabilization, III - period of intensive accumulation of fatigue deformations.

Functional wear- this is a decrease in the value of a building due to the functional inconsistency of its individual elements or the entire building as a whole with the market needs for the property at the valuation date.

Physical and functional wear and tear manifests itself in the form of specific deficiencies in the property itself.

External (economic) wear and tear is a loss of value of a building caused by reasons external to the property. These reasons may be factors of a physical, economic, or political nature.

This type of wear and tear is inherent in improvements due to their fixed position and, unlike physical and functional wear and tear, does not appear in the object itself. It is associated with the external environment of the object (aging environment).

External depreciation is measured by the capitalized value of rental losses, estimated using the gross rent multiplier.

Physical and functional wear and tear may or may not be removable at the valuation date.

Removable is wear and tear, the causes of which are economically feasible to eliminate, that is, when the increase in the value of the object after the elimination of the defect covers the costs associated with this elimination.

Fatal depreciation is considered to be the cost of eliminating which is greater than the increase in the value of the object associated with the elimination of the identified defect.

Thus, the test for the nature of wear (removable or irreparable) is the conclusion - whether the restored (repaired) elements have additional market value, and whether the repair costs are covered.

External (economic) wear and tear is always considered irreparable. It is directly related to the location of the object being assessed. The reasons that cause it are external to the property and cannot be eliminated by the owner of the property being assessed.

Methods for determining accumulated wear.

There are the following methods for determining accumulated wear:

straight:

• lifetime method;
• partitioning method;

and indirect:

• extraction method.

Lifetime method.

Physical lifespan (Tf)- this is the period of time during which the building exists and is suitable for use (housing).

Economic life (Tek) is the period of time during which the building generates profit.

Effective age (Teff)- determined on the basis of an expert assessment of the appearance of the house, taking into account its condition, design and economic factors affecting the value of the property being assessed.

Remaining economic life (Toast)- this is the period of time determined by the difference Tek - Tef.

Chronological age (Thr)- determined as of the assessment date from the moment the facility is put into operation.

Schedule. Estimation of cumulative wear and tear.

Calculation of accumulated depreciation by the life-span method assumes that the ratio of effective age to typical economic life is equal to the ratio of accumulated depreciation to the cost of reproduction.

This method can be used for:

• determining the wear and tear of the entire building;
• its individual structural elements.

The necessary background information on determining the standard lifespan of a building and its individual elements can be obtained from standard reference books

In the process of estimating accumulated depreciation using the life cycle method, the question arises of determining the period of the remaining economic life. In this case, one should proceed from the following suggestions:

Splitting method.

Let's consider how accumulated wear is determined when applying the partitioning method, which uses the assumption of independence of various types of wear as a base one.

Wear(physical, moral, economic) is the loss of value of an object over time under the influence of various factors.

Accumulated wear determined by the formula:

In = 1- (1- If)(1-Ifun)(1- Ie), where

I f - physical deterioration

Ifun – functional wear

Ie – economic wear and tear

Physical deterioration– the loss of value of an object associated with use, wear, wear, destruction and other physical factors leading to a reduction in the life and usefulness of the object.

To determine the amount of physical wear and tear, the structure of the specific indicator of the cost of construction of a one-story panel residential building was applied in accordance with the collection of UPVS No. 28 “Residential, public buildings and buildings and structures for public utility purposes for the revaluation of fixed assets,” Table 3a. Based on the results of the inspection of the building, the “Rules for assessing the physical wear and tear of residential buildings VSN 53-86 (r)” Gosgrazhdanstroy, Moscow 1990 were used to determine physical deterioration.

Table 14

We accept physical wear and tear 32%

Functional (moral) wear and tear is the loss of value due to the relative failure of a given structure to provide utility compared to a new structure constructed for the same purpose. Functional obsolescence is the result of the internal properties of the object and is associated with factors such as design flaws, excessive operating costs, and is manifested in the outdated architecture of the building, planning amenities, engineering support, etc. The object in its characteristics does not meet modern requirements, the obsolescence of the assessed object will be 50%.

External /economic/ wear and tear: The subject of assessment is a residential building; a distinctive feature of the market for the purchase and sale of similar objects is that their exposure takes considerable time. These facts are considered by the appraiser as wear and tear from external influences, which we take equal to the value of the premium for low liquidity, which is an adjustment for the duration of exposure when renting/selling an object. The adjustment for insufficient liquidity was calculated using the formula:

where: I b/r – risk-free rate;

Tek – exposure period for the object being assessed.

The risk-free rate is chosen at 7.32%, equal to the long-term rate of the GKO-OFZ market as of the valuation date

The exposure period for objects similar to the object being valued according to real estate companies is one year, so external wear and tear is equal to:

Thus, economic depreciation is accepted by the appraiser as 9%.

Accumulated wear and tear is:

In = 1 - (1 - If) x (1 - Ifun) x (1 - Ie)

In = 1 - (1 - 32) x (1 - 50) x (1 – 9) = 69

Thus, the accumulated wear is 69%.

Accumulated wear – This is a decrease in the replacement or replacement cost of improvements that may occur as a result of physical destruction or functional obsolescence. Wear assessment methods : method of economic life (economic life- this is the period of time during which monetary contributions to improvements provide an increase in value (in short, physical value). residual economic life – The period of time during which a property can generate income. . chronological (actual age)– the period of time from the completion of construction to the date of assessment, effective age – the one the property looks like is different from the chronological one.) Inak=Tef/Tek, where (Tef=Tek-Toek).

Breakdown method: in detailed consideration and accounting of all types of wear: physical(loss of elements of original technical and operational qualities), functional(loss of cost of improvements), external(location of the object, transport accessibility). Depreciation refers to removable, if the cost of eliminating its signs is less than the cost of the object or the income from its operation that occurs after its elimination. Depreciation is classified as irreparable if the cost of correcting it is greater than the amount of added value of the structure.

7. Determination of physical wear and tear (removable, irreparable)

The physical wear and tear of structures and the building as a whole should be understood as the loss of their original technical and operational qualities (strength, stability, reliability) as a result of the influence of natural and climatic factors and human activity. Physical wear and tear can be defined as recoverable deferred repair items and non-recoverable items that are not economically feasible to repair. Removable physical wear usually attributed to poor maintenance, so it is sometimes called deferred repair. The Buyer will make immediate repairs to restore normal operating characteristics of the structure (cosmetic repairs). Unrecoverable physical wear and tear corresponds to positions the elimination of which is currently practically impossible or economically unfeasible. In practice, elements of a structure that have irreparable physical wear are divided into long-lived (their lifespan matches or even exceeds the lifespan of the building: foundations, load-bearing walls, floors) and short-lived (the physical lifespan of which is less than the lifespan of the building as a whole). Undisturbed physical condition = Remaining condition Chronic weight / Normal age

Remaining st. = St. p. – Ex.rem

8. Determination of functional wear (removable, irreparable)

Functional wear- this is the loss of the cost of improvements due to the discrepancy between the space-planning or structural design of the structure and modern market requirements for this type of improvement. Similar to physical wear, functional wear is divided into removable and irreparable. Removable functional wear- this is such wear and tear, the cost of eliminating which is less than the income received as a result of its elimination. May be caused by deficiencies requiring replacement and upgrading of the element Unrecoverable functional wear- this is such wear and tear, the costs of eliminating which are greater than the income received as a result of its elimination.