Which description best matches an appraisal assignment in which the appraiser inspects the property from the exterior only and does not enter the interior?
Correct Answer
B) An exterior-only assignment
An exterior-only assignment describes a scope in which the appraiser observes the exterior but does not enter the interior. The appraiser must still obtain enough suitable information for credible results and disclose the inspection scope. An extraordinary assumption is not an automatic cure for missing interior information: it must meet USPAP’s conditions and be permitted by the governing assignment or lender program. Desktop, hybrid and waiver options have different roles and requirements.
Why This Is the Correct Answer
Option B is correct because an exterior-only appraisal assignment describes a scope in which the appraiser observes the exterior but does not enter the interior. The appraiser must still obtain enough suitable information for credible results and disclose the inspection scope.
Why the Other Options Are Wrong
Option A: A hybrid assignment
Option A, a hybrid assignment, uses a third-party data collector to gather property information for the appraiser. The described assignment has the appraiser personally inspecting the exterior, which is the exterior-only scope.
Option C: A desktop assignment
Option C, a desktop assignment, does not include a current inspection of the subject by the appraiser. Here the appraiser does inspect the exterior, so it is not a desktop assignment.
Option D: A value acceptance determination
Option D, a value acceptance determination, is a waiver option under which an appraisal is not required. The described scenario is an appraisal assignment with an exterior inspection.
Who looks, from where
Ask who looks and from where: appraiser outside only is exterior-only; collector inside is hybrid; nobody current is desktop; no appraisal is waiver.
How to use: Use this sorting question to classify appraisal products by inspection method.
Exam Tip
Match the inspection description to the product: who inspects, whether interior access occurs, and whether an appraisal is produced at all.
Common Mistakes to Avoid
- -Confusing exterior-only appraisals with desktop appraisals
- -Assuming an extraordinary assumption can cover any missing interior data
- -Calling an exterior-only assignment a hybrid
Concept Deep Dive
Analysis
This question tests recognition of appraisal scope types by inspection method. An assignment where the appraiser views only the exterior and does not enter is an exterior-only appraisal. Hybrid, desktop and waiver options involve different roles for inspection and data collection.
Background Knowledge
USPAP describes a personal inspection as the appraiser's in-person observation of the subject performed as part of the scope of work. The extent of inspection is a scope-of-work decision that must be disclosed. When interior information is missing, an extraordinary assumption may be used only if it meets USPAP's conditions and is permitted by the assignment or program.
Real-World Application
A lender orders an exterior-only appraisal for a home equity line on an occupied home. The appraiser views and photographs the exterior from the street, uses public records and prior listing data for interior details, and discloses the limited inspection. Where interior condition is assumed, the appraiser handles it within USPAP and program requirements.
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