In an appraisal review, the reviewer's client asks whether the reviewed report 'complies with USPAP.' The reviewer's opinion on that question is:
Correct Answer
D) A legitimate review conclusion the reviewer must develop and support
Why this is correct: The core of appraisal review practice is forming an opinion on the quality and compliance of the work under review. As the original explanation states, this involves developing a professional conclusion about the report's completeness, adequacy, relevance, appropriateness, and reasonableness based on the review's scope. The reviewer must support this opinion with evidence and reasoning, just as with any other appraisal conclusion. Why the other choices are wrong: The opinion is not 'Outside any professional standard'; USPAP specifically governs review work. It is not 'Prohibited — only state boards judge compliance'; while state boards enforce rules, reviewers professionally opine on compliance within their assignments. It is not 'Automatic — any signed and certified report is presumed fully compliant'; a signature does not guarantee compliance, and a reviewer must independently assess the work. Exam tip: Remember that a review assignment requires the reviewer to develop and support their own conclusions about the work product's quality and USPAP compliance.
Why This Is the Correct Answer
Why this is correct: The core of appraisal review practice is forming an opinion on the quality and compliance of the work under review. As the original explanation states, this involves developing a professional conclusion about the report's completeness, adequacy, relevance, appropriateness, and reasonableness based on the review's scope. The reviewer must support this opinion with evidence and reasoning, just as with any other appraisal conclusion. Why the other choices are wrong: The opinion is not 'Outside any professional standard'; USPAP specifically governs review work. It is not 'Prohibited — only state boards judge compliance'; while state boards enforce rules, reviewers professionally opine on compliance within their assignments. It is not 'Automatic — any signed and certified report is presumed fully compliant'; a signature does not guarantee compliance, and a reviewer must independently assess the work. Exam tip: Remember that a review assignment requires the reviewer to develop and support their own conclusions about the work product's quality and USPAP compliance.
More USPAP Questions
Which statement best defines a hypothetical condition under USPAP?
According to the Competency Rule, if an appraiser lacks the knowledge and experience to complete an assignment competently, which action is NOT acceptable?
An appraiser runs only the sales comparison approach on a standard tract home and omits the cost and income approaches. Under Standard 1 this is:
A value opinion for a subdivision as if fully built out two years from now is what kind of assignment, and what does it require?
A hypothetical condition differs from an extraordinary assumption in that a hypothetical condition:
An appraiser must disclose in the certification whether they have:
A client-imposed requirement — 'use only comps from our approved list' — is best described as:
Under Standard 1, when developing a real property appraisal, an appraiser must:
The certification required by Standards Rule 2-3 must be signed by:
According to Standard 1, when developing an opinion of market value, an appraiser must analyze:
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