How does the scope of work rule apply when a lender requests a desktop assignment?
Correct Answer
D) Credible results are still required or the work expands
Why this is correct: USPAP's Scope of Work rule requires that an appraisal be sufficient to produce credible results for the intended use. If a desktop assignment cannot meet that standard for a particular property, the appraiser must expand the scope (e.g., add an inspection) or decline the assignment. Why the other choices are wrong: The lender's request does not override the need for credible results. Desktop assignments are not exempt from USPAP. An inspection is not always required if credible results can be achieved without it. Exam tip: Credibility governs scope. You can't accept an insufficient scope just because the client requested it.
Why This Is the Correct Answer
Why this is correct: USPAP's Scope of Work rule requires that an appraisal be sufficient to produce credible results for the intended use. If a desktop assignment cannot meet that standard for a particular property, the appraiser must expand the scope (e.g., add an inspection) or decline the assignment. Why the other choices are wrong: The lender's request does not override the need for credible results. Desktop assignments are not exempt from USPAP. An inspection is not always required if credible results can be achieved without it. Exam tip: Credibility governs scope. You can't accept an insufficient scope just because the client requested it.
More emerging-appraisal-methods Questions
An appraiser consults a geographic information system for parcel boundaries. What limitation applies?
How does an alternative inspection method affect the appraiser's disclosure obligations?
A collector's photographs show a condition the appraiser believes needs specialist assessment. What is the appropriate step?
What responsibility does an appraiser retain for an error originating in a third-party database?
Under current USPAP guidance, what is the output of an automated valuation model before an appraiser analyzes it?
A lender's guidelines require an interior inspection, but the client asks for a desktop product to save time. What should the appraiser do?
How should an appraiser respond to a client requesting a shorter turn time than credible results allow?
Which assignment type still requires the appraiser to develop an opinion of value?
An appraiser relies on a published capitalization rate survey. What must be considered?
A model returns an estimate far from the appraiser's own conclusion. What is the appropriate response?
People Also Study
Valuation Principles & Procedures
25% of exam
Property Description & Analysis
20% of exam
Market Analysis & Highest/Best Use
15% of exam
Appraisal Math & Statistics
15% of exam
USPAP (Ethics & Standards)
15% of exam