Deck #3 Flashcards
T/F: appraisal review requires the reviewer to prepare a separate report setting forth the scope of work performed and the assignment results of the appraisal review.
True
An appraisal review can be a two stage process. What can the two stages be?
the review plus a value opinion by the reviewer
Appraisal review
the process of developing an opinion about the quality of another appraiser’s work
What are 5 areas a reviewer will analyze in a report?
- completeness
- accuracy
- adequacy
- relevance
- reasonableness
An appraiser was asked by his neighbor to look over a report a bank appraiser performed on his property. After reading, the appraiser informed his neighbor the report was adequately supported. What has the appraiser done?
an appraisal review that must comply with STANDARDS 3 and 4, and other portions of USPAP such as record keeping.
When an appraiser reviews another’s work, what must the reviewer do?
prepare a separate report setting forth the scope of work and the results
An appraiser reviewed and co-signed a report. What USPAP Standards does the appraiser’s work fall under
STANDARDS 1 and 2
What might be subject to an appraisal review?
some of all of an appraiser’s work performed as part of an appraisal or review
According to STANDARD 3, what process does the appraiser follow in a review assignment?
appraisal review development process
Can an appraiser review only the workfile of another appraiser’s work?
Yes, the workfile can be reviewed separately
The reviewer must conduct an appraisal review in the context of market conditions applicable of the ____
effective date of the value opinion in the report under review
When a reviewer agrees or concurs with the real property value opinion of the appraiser’s work being reviewed, the reviewer_____
has also performed an appraisal that must comply with STANDARD 1
An appraisal review must state all of the following EXCEPT:
A) the purpose of the appraisal review
B) the scope of work identified
C) the intended use
D) the intended users
B) the scope of work identified in the appraisal report under review
Each written or oral appraisal review must be separate from _____
the work under review
If any portion of a review involved assistant from another appraiser, the reviewer must ____
state the extent of that assistance in the review report
The content of an appraisal review report must be consistent with___
the intended use of the appraisal review
A client asked an appraiser to perform a review for a property in a different state. The appraiser has no knowledge of that market. What type of review could the appraiser perform that would comply with USPAP?
he could determine whether of not the appraisal report under review complies with client-identified requirements
A Fannie Mae report completed by a supervisory appraiser on a real property assignment. How does USPAP identify the work of the supervisor?
an appraisal that must comply with STANDARDS 1 and 2
According to STANDARD 3, what process does the appraiser follow in a review assignment?
appraisal review development process
A reviewer may use information that was not available to the original appraiser as long as the information is not ____
use to discredit or impeach the original appraiser’s opinions and conclusions
The reviewer must state in the written review the report date of the work under review, and the effective date of the opinions and conclusions in the work. What other date must be stated?
the date of the appraisal review report
T/F: The reviewer is NOT required to have and retain a workfile for the prescribed period.
False
Mass Appraisal
the process of valuing a universe of properties as of a given date using standard methodology, employing common data, and allowing for statistical testing
Mass Appraisal Model
a mathematical expression of how supply and demand factors interact in a market
Besides tax assessment, what may mass appraisals be used for?
eminent domain of an entire town, a large group of properties subject to an environmental issue, and the valuation of a subdivision located in a flood plain
What appraisal disciplines does STANDARDS 5 and 6 cover?
the development and reporting of mass appraisal
A mathematical expression of how supply and demand factors interact in a market best describes_____
mass appraisal model
The requirement to include a signed certification in written reports is found in which appraisal discipline?
all disciplines covered by standards 1-10
T/F: a mass appraisal may be prepared with or without computer assistance.
True
In standards rule 5-3, trade level, of wholesale levels of trade, is a market reference used in______
personal property appraising
personal property
tangible or intangible article that is subject to ownership and not classified as real property, such as artwork, antiques, gems and jewelry and electronic things such as emails
A prohibition on the use of a machine in a particular location best describes what aspect of personal property valuation?
an encumbrance
Which reporting options are available when performing a personal property appraisal?
A: Restricted Appraisal Report
B: Oral and Mass appraisal reports
C: Appraisal Report
D: All these answers
D: all the answers
When appraising personal property, the appraiser must analyze prior sales of the subject over what time period, assuming its relevance to the intended use of the appraisal and property type?
a reasonable and applicable time
T/F: In developing a personal property appraisal based on market value, an appraiser must analyze the highest and best use of the personal property.
False
business enterprise
an entity pursuing an economic activity
business equity
the interests, benefits, and rights inherent in the ownership of a business enterprise or a part thereof in any form
intangible property
non-physical assets such as trademarks, patents securities
In the development of a business appraisal, the appraiser is concerned about whether the ownership interest is ____
controlling or non-controlling in the business enterprise
What certification statement is missing from Standard 10-3 compared to 2-3?
There is no certification about whether the appraiser has inspected the property
A written business appraisal report must be prepared in accordance with which two options?
Appraisal report or restricted appraisal report
