USPAP
The Uniform Standards of Professional Appraisal Practice (USPAP) is a comprehensive set of standards that provides the appraiser with a guideline for performing professional appraisals, appraisal reviews, and consulting assignments. In addition, USPAP provides the public with a gauge to measure the performance and capability of the professional appraiser – not only in developing the appraisal, doing the review of performing a consulting assignment, but also in reporting the results of these activities. USPAP applies to written reports as well as to reports communicated orally.
Modern appraisal practice requires:
- A clear description of the property being valued
- Why it is being valued
- A comprehensive explanation of the relevant facts regarding how the conclusions were determined
- The final results, opinions or conclusions of the assignment
All relevant issues, including limiting and qualifying conditions, hypothetical situations, approach to value used, market selection and analysis, and the definition of value must be understood by the client and all anticipated users of the appraiser’s work product.
USPAP provides the rules and methodology to guide the professional appraiser in a diligent and competent manner of practice.
Source: International Society of Appraisers, October 2007.