Appraisal Reviewer Compliance & Standards Flashcards
7 cards from real CAR practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Appraisal Reviewer Compliance & Standards flashcards as text
Which USPAP provision allows a reviewer to accept an assignment with a predetermined outcome, such as 'confirm the value is at least $X'?
Answer: No provision allows this; it violates the Ethics Rule
USPAP prohibits accepting assignments contingent on a predetermined conclusion regardless of client type or report format.
Which concept in appraisal review addresses whether the appraiser's opinion of value falls within the range of values a reasonable appraiser would develop?
Answer: Credibility test
The credibility test evaluates whether the appraisal result is reasonable and supportable given the data and analysis presented.
Under the Uniform Standards of Professional Appraisal Practice, a reviewer who also develops a value opinion is bound by which combined set of standards?
Answer: Standards 1, 2, 3, and 4
When a reviewer also develops an independent value opinion, both the appraisal development (Standards 1 and 2) and review (Standards 3 and 4) standards apply.
The Appraisal Institute's Standard of Professional Appraisal Practice requires reviewers to exercise what level of care?
Answer: The level of care used by competent reviewers in similar assignments
Reviewers must exercise the level of care that a competent reviewer would use in a similar assignment — a professional reasonableness standard.
A lender requests that a reviewer 'validate' an appraisal that supports a specific loan amount. Which term best describes this improper instruction?
Answer: Appraisal pressure
Directing a reviewer to confirm a predetermined value is a form of appraisal pressure, which violates appraiser independence requirements.
Which section of USPAP requires reviewers to maintain a workfile supporting the review for a minimum of 5 years?
Answer: Record Keeping Rule
The Record Keeping Rule requires appraisers and reviewers to retain a workfile for at least 5 years after preparation or 2 years after final disposition of judicial proceedings.
During a field review, the reviewer discovers the subject property's actual size is materially different from what the appraiser reported. The reviewer should:
Answer: Note the discrepancy, issue a negative review opinion, and detail the impact on value credibility
A material factual error in the appraised property's size must be identified, and a negative review opinion issued with an explanation of its effect on credibility.