Final answer:
A fact that negatively affects property value is known as a detriment or adverse factor. This can range from local nuisances to broader economic conditions that impact consumer confidence and spending, which in turn depress property values.
Step-by-step explanation:
A fact which negatively affects the value of a property is known as a detriment or an adverse factor. Various factors can lead to a decrease in property value; these can be static or change over time. For example, an unattractive paint job on a neighboring house (hideous color), environmental issues such as trash dumped nearby, or the presence of a smoker in a non-smoking environment can all have a detrimental impact on property values. Additionally, broader economic conditions, such as a negative report on home prices, can affect consumer confidence and spending, leading to a reduction in property value on a more macroeconomic level.
Specific incidents like capital flight in a neighborhood, where wealthier residents relocate, can lead to a cycle of decay. Rental properties are particularly susceptible to such cycles as they may suffer from disinvestment and poor maintenance, further decreasing their value. Large-scale economic factors such as a downturn in the farming industry can also result in a significant loss of land values, affecting not only individual landowners but also banks and the broader economy due to reduced consumer spending on manufactured goods.