The Real Estate Encyclopedia & Blog

Physical Life

by | Feb 6, 2026

In real estate appraisal, physical life refers to the length of time an improvement is expected to remain structurally sound and usable when properly maintained. It represents the period during which the building can physically function as intended.

Physical life is distinct from economic life, which considers profitability and market desirability. A structure may have remaining physical life even after it has reached the end of its economic usefulness.