Dictionary of Accounting Terms: deferred maintenance
deferred maintenance
- maintenance that has been postponed and that may result in physical damage, lack of efficiency, decline in production, and other negative effects. If a company does not have an adequate repair program, future earnings potential of the assets are diminished.
- factor in real estate appraisal. For example, deferred maintenancecmay produce broken windows and discolored paint that adversely affect the value of a piece of property.
Dictionary of Business Terms: deferred maintenance
deferred maintenance
in appraisal, a type of physical depreciation owing to lack of normal upkeep. Examples are broken window glass, missing roof shingles, peeling paint, and broken guttering.
Dictionary of Real Estate Terms: deferred maintenance
deferred maintenance
in appraisal, a type of physical depreciation (accounting) owing to lack of normal upkeep.
Examples: The appraiser found the following examples of deferred maintenance on the subject property:
- broken window glass
- missing roof shingles
- peeling paint
- broken guttering
