Ordinary wear and tear on a property, such as wood rot, is classified as?

The classification of ordinary wear and tear on a property, such as wood rot, as physical deterioration is accurate because physical deterioration refers to the decrease in a property's value due to the effect of time, weather, and everyday usage. This type of deterioration includes issues like wear and tear, decay, and other physical issues that can arise through no fault of the owner, as it results from normal and expected usage of the property.

In the context of real estate, physical deterioration is an important consideration for appraisals and selling as it impacts the property's overall condition and marketability. Understanding this concept is vital for real estate professionals, as they need to assess both the economic implications of such deterioration and the necessary repairs or updates that may be required to maintain or increase the property value.

The other classifications listed, like economic obsolescence, functional obsolescence, and ordinary obsolescence, pertain to different aspects of property devaluation that are not directly related to physical damage or wear. For instance, economic obsolescence typically refers to a decrease in property value due to external factors, such as changes in zoning laws or neighborhood decline, rather than the property's physical state itself.