Farmhouse Rental Agreement

For example, a building with an estimated lifespan of 20 years (see « estimated rental costs ») and now 13 years, would have an estimated present value of 35% of its replacement costs (7 years remaining, divided by 20). If the rental period is longer than 1 year, use the average age of the property during the planned rental period. If the property is in very good or poor condition due to its age or if it is functionally obsolete, adjust the current value up or down to reflect this. Some facilities have very special uses or are connected to a fixed location. This often reduces their market value and profitability. A realistic estimate of the present value should take this into account. .