Like any other commodity, the property has an expiration date, because over time it loses the quality of the structure and materials. The lack of maintenance also affects this process, and as a result, the property becomes uninhabitable.
What is the validity period?
The correct term to refer to this duration is the “useful life”, which is nothing more than the period during which the property can perform the function for which it was created.
The useful lifetime is obtained by valuing real estate and consists of two data: the date on which the property can be used legally and the date on which it loses this legality. Knowing this period is necessary for three reasons:
on sale
when buying
- To know the durability of the property and determine if it suits you
Calculation of shelf life
In general, the useful life of construction is determined by evaluating the conditions in which it is located, as well as the materials used. According to the physical method of evaluating construction in Mexico, the average period of the property is determined for the first time, taking into account the type of construction:
Build type and quality
- Luxury Residential – 70 Years
- Good Quality Residential – 70 Years
- Average quality – 60 years
- Medium quality – 60 years
- Popular Social Interest with Finishes – 50 Years
- Popular social interest in semi-finished products – 50 years
- People’s social interest self-construction – 50 years
- Luxury apartments – 70 years
- Good Quality Apartments – 70 Years
- Medium-quality apartments – 60 years
- Departments of Social Interests – 50 years
Then, a more accurate assessment is made of the building elements such as foundation, masonry, structure, fixtures, paint, and materials that were used, such as wood, aluminum, PVC, paints, etc.
The National Association of Home Builders (NAHB) has a list of average life ratings for building materials to serve as a guide when a rapid assessment is required. For example, carpentry and furniture finishes average 40 years, aluminum 45 years, paints 20 years, blacksmithing 70 years, and galvanized 30 years.
The preservation condition of the building is also taken into account. The newer it is and the fewer major repairs that have been made, the higher your rating will be.
Although the quality of the materials is the key to extending the useful life of the property, maintenance is necessary to gain a few extra years. For this reason, it is recommended that every 5-10 years you make the relevant repairs to give your property more life.
Valuation to know the useful lifetime
The useful life of the property is obtained through real estate appraisal, which must be carried out when a house is offered for sale since it is necessary to determine the sale price. This means that if you are about to purchase a property, the seller can provide you with this information upon request. And if not, you present it to the next owner of the property.