An appraiser signs a report but did not personally inspect the property. What is required?
Correct Answer
D) The extent of inspection performed must be disclosed
Accurately disclose the personal-inspection status and performed scope, and ensure reliable information and analysis support credible results. No inspection is not automatically prohibited by USPAP, but disclosure alone does not cure insufficient information or supersede additional program inspection requirements.
Why This Is the Correct Answer
Option D is correct because the certification requires the appraiser to state whether a personal inspection was made, and the scope of work must describe the extent of inspection. Accurate disclosure lets intended users understand the work performed. Disclosure does not replace the need for reliable information supporting credible results or any extra inspection requirement imposed by a client program.
Why the Other Options Are Wrong
Option A: The report may not be signed under any circumstances
Option A says the report may not be signed under any circumstances. USPAP allows an appraiser to sign without a personal inspection if the inspection status is disclosed and the results are credible.
Option B: A second appraiser must co-sign the completed report
Option B requires a second appraiser to co-sign. USPAP has no co-signature requirement tied to the lack of an inspection; the requirement is accurate disclosure of what was done.
Option C: The client must waive the inspection in writing first
Option C requires the client to waive the inspection in writing first. A client waiver is not a USPAP condition; the appraiser determines and discloses the scope of inspection.
Didn't Inspect? Say So
No inspection is not a ban, but it must be stated in the certification and scope of work.
How to use: Use this when a question asks what to do about a missing or limited inspection.
Exam Tip
Choose the answer requiring accurate disclosure of the inspection performed; reject answers that add co-signers or client waivers as USPAP rules.
Common Mistakes to Avoid
- -Thinking USPAP forbids signing without a personal inspection
- -Checking the inspected box when only an assistant inspected
- -Assuming disclosure alone makes up for insufficient property information
Concept Deep Dive
Analysis
This question tests what is required when a signing appraiser did not personally inspect the property. The certification includes a statement that the appraiser has or has not made a personal inspection, and scope of work includes the extent to which tangible property is inspected. USPAP does not prohibit signing without an inspection, but the inspection status and scope must be disclosed accurately and the information relied on must support credible results.
Background Knowledge
Desktop and exterior-only appraisals are examples where the appraiser may not personally inspect the subject interior. The appraiser must have adequate, reliable information to support credible results, disclose the extent of inspection, and follow any client or program inspection requirements.
Real-World Application
A supervisor signs a report for which only the trainee inspected the home. The supervisor's certification states she did not personally inspect the property, and the report names the trainee's significant assistance and describes the inspection the trainee performed.
More USPAP Questions
In a cost approach for an improved property, an appraiser estimates site value by sales comparison, allocation and extraction, then settles on one site-value figure before final reconciliation. How is this step best described?
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An otherwise applicable valuation approach cannot be developed reliably from the available data. The remaining scope can produce credible assignment results. What should the appraiser do?
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An appraisal has a current effective date and permits an extraordinary assumption if its requirements are met. Which situation involves uncertain information rather than a fact known to be contrary to reality on that date?
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An unauthorized third party requests a lender-client’s report. No due-process or other permitted disclosure exception applies. How should the appraiser respond?
An appraiser proposes to assume there are no hidden defects. Which fact would characterize that assumption as extraordinary under the USPAP 2024 definition, rather than justify dismissing it as routine boilerplate?
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