Evaluation Period
The number of years over which a PCR's long-term costs are projected, defined by the user; commonly ten years for buyers and banks, twelve for securitised.
By Nicolas Reimer, Founder, Baseline PCR · E2018-24 s5 and Appendix X1.2.5 · Published September 18, 2026
The evaluation period is the horizon of Table 2. E2018-24 asks the user to define it up front, and the reserve table lists every component whose useful life ends within it. Ten years is the common choice for a buyer or a bank; conduit lenders typically ask for twelve; Fannie Mae's instructions set the loan term plus two years; HUD's capital needs assessment commonly runs twenty.
The period changes the table more than any other input: a roof due in year eleven is a listed line with no cost in a ten-year table and a six-figure line in a twelve-year one. The report states the period in the executive summary and the cost methodology, and the per-square-foot-per-year figure is computed over it. Changing the period after the fact means recomputing the table, which is why it belongs in the proposal. See scoping a PCA.
Related: long-term costs, user.
Sources
- ASTM E2018-24, Standard Guide for Property Condition Assessments: Baseline Property Condition Assessment Process (ASTM International)
- Fannie Mae, Form 4099 Instructions for Performing a Multifamily Property Condition Assessment
- Standard & Poor's, Property Condition Assessment Criteria (structured finance ratings; hosted by Partner ESI)
ASTM E2018-24 is copyrighted by ASTM International and is paraphrased here, never reproduced; buy the guide from ASTM to read the text. This page is general information for practitioners, not engineering, legal or lending advice.