A Guide to Appraisal types
Sammartino, Stout & Lo Presti: "When the Valuation Matters"
The (2016-17) Uniform Standards of Professional Appraisal Practice (USPAP) allows the appraiser and client to design the scope of the appraisal assignment for maximum flexibility in analysis and reporting options. The appraiser must be cautious however to maintain a level of credibility and analysis which will meet the test of peer review..
Under Standard Rule 2-2 (USPAP 2016-2017 Edition) there are two appraisal report options:
- Appraisal Report and,
- Restricted Appraisal Report
Prior editions of USPAP defined appraisal reports as Summary or Self Contained. Under the current USPAP the client can design the appraisal in accordance with his or her needs. If the client desires less detail as to the data reasoning and analysis, the report can have summarized (often tabular) detail. A detailed report will have more in-depth narrative discussion and background data.
Thus, the Appraisal Report may be designed to accommodate either a summary or a detailed level of discussion. The selection of the level of detail can vary greatly dependent on the property type, appraisal problem, and client’s needs. Due to our years of in-depth experience with numerous properly types as well as a myriad of appraisal needs; i.e. mortgage lending, tax appeal, eminent domain, etc., we are able to guide clients in the selection of the appropriate level of detail which will suit their needs and goals.
The Restricted Report is intended for a narrow (i.e., restricted) field of users and is only suitable for those who have sufficient knowledge about the property and market to accept a value conclusion with minimal detail.