USPAP USPAP Appraisal Development Standards 3

Question 1

Under USPAP, which of the following best describes 'exposure time'?

Accepted Answer

The estimated length of time a property would need to be marketed before it sells at market value

Answer

The time needed to complete the appraisal report

Answer

The time between assignment acceptance and property inspection

Answer

The time a property was listed before the appraiser was hired

Question 2

Under USPAP Standards Rule 1-2, the appraiser must identify the type and definition of value because:

Accepted Answer

Different definitions of value can lead to different conclusions

Answer

It is required by FNMA for all residential appraisals

Answer

It allows the appraiser to charge a higher fee

Answer

It is required only for commercial appraisals

Question 3

Under USPAP, 'limiting conditions' in an appraisal report are best described as:

Accepted Answer

Statements that restrict or constrain the appraiser's development or reporting

Answer

Conditions that increase the reported value

Answer

Legal restrictions on the property's use

Answer

Loan conditions set by the lender

Question 4

Under USPAP, a 'prospective value opinion' is one where the effective date is:

Accepted Answer

A future date relative to when the report is prepared

Answer

The same as the date of inspection

Answer

A past date determined by the client

Answer

The date of the purchase contract

Question 5

Under USPAP Standards Rule 1-6, when reconciling the approaches to value, the appraiser must:

Accepted Answer

Consider and analyze the quality and quantity of data and appropriateness of each approach

Answer

Always give equal weight to all three approaches

Answer

Select the highest indicated value

Answer

Average all approach indications mathematically

Question 6

Under USPAP, which of the following is a requirement when using comparable sales in the sales comparison approach?

Accepted Answer

Appraisers must verify sales data through a reliable source

Answer

Sales must be within the same zip code as the subject

Answer

Only MLS-listed sales may be used

Answer

Sales must have occurred within 90 days of the effective date