What is the term for the value of a property when depreciation is taken into account?

The term for the value of a property when depreciation is taken into account is the actual cash value. This concept refers to the amount of money that an asset is worth in the current market, factoring in any depreciation that has occurred due to wear and tear, age, or other factors. Actual cash value is calculated by taking the replacement cost of the property and subtracting depreciation, giving a more accurate representation of what the property would be worth for insurance purposes or in a sale.

Replacement cost refers to the cost to replace an item with a new one of similar quality and functionality, without considering depreciation. Market value indicates the price a property would likely sell for in the current marketplace but does not directly consider how much value has diminished over time. Depreciated value is not a standard term used in insurance or property valuation; typically, actual cash value is the preferred term that encompasses the idea of value minus depreciation.