All Comp Check's will be
performed in accordance with USPAP 2008-2009.
Please see below.
130.
Appraisers
“Providing Comps”
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Question: |
I have a
client that just wants me to “provide comps” from a
neighborhood. Are there any USPAP requirements I must comply
with to perform this task?
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Response: |
To answer this question,
it is important to identify exactly what the appraiser is
being asked to do. If the appraiser is asked to “provide
comps,” that would typically mean the appraiser would be
exercising his or her own judgment to determine which sales
are most “comparable” to the subject property. The appraiser
may choose to include only those sales that he or she deems
are most similar to the subject in size, location, quality,
etc., which could mean that certain sales may be omitted. In
this case, the resulting data would have been “filtered” by
the appraiser’s judgment, which would have the net effect of
providing a range of value to the client. This range of value
is defined as an appraisal under USPAP; therefore, the
appraiser would be obligated to comply with STANDARDS
1 and
2. |
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This should be
contrasted to a request for an appraiser to simply provide
data. For example, an appraiser asked by a client to provide
“sales data of all homes located within a one mile radius” of
a specific address could comply with the client’s request
without complying with STANDARDS 1 and 2, as the appraiser
would just be providing sales data pursuant to the client’s
defined parameters. In this example, the appraiser must be
careful not to communicate any opinions or conclusions
regarding the data provided. |
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For related guidance on this topic, please
refer to Advisory Opinion
19, Unacceptable Assignment Conditions in Real Property
Appraisal Assignments and Illustration #4 “Appraisal and
Market Information” in Advisory Opinion
21, USPAP Compliance. |
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TABLE
OF CONTENTS
USPAP 2008–2009 Edition
©The Appraisal Foundation
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