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USPAP 2018-2019 Edition

© The Appraisal Foundation

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STANDARD 8

(i)

state the identity of the client, unless the client has specifically requested otherwise; state the

identity of any intended users by name or type;

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Comment: An appraiser must use care when identifying the client to avoid violations of the

Confidentiality section of the ETHICS RULE. If a client requests that the client’s identity be withheld

from the report, the appraiser may comply with this request. In these instances, the appraiser must

document the identity of the client in the workfile and must state in the report that the identity of the

client has been withheld at the client’s request.

Types of intended users of the report might include parties such as lenders, employees of government

agencies, partners of a client, and a client’s attorney and accountant.

(ii)

state the intended use of the appraisal;

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(iii) summarize information sufficient to identify the property involved in the appraisal, including the

physical and economic property characteristics relevant to the assignment;

(iv) state the property interest appraised;

(v)

state the type and definition of value and cite the source of the definition;

Comment: Stating the definition of value also requires any comments needed to clearly indicate to the

intended users how the definition is being applied.

When reporting an opinion of value, state whether the opinion of value is:

in terms of cash or of financing terms equivalent to cash, or

based on non-market financing or financing with unusual conditions or incentives.

When an opinion of value is not in terms of cash or based on financing terms equivalent to cash,

summarize the terms of such financing and explain their contributions to or negative influence on value.

When an opinion of reasonable exposure time has been developed in compliance with Standards Rule

7-2(c), the opinion must be stated in the report.

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(vi) state the effective date of the appraisal and the date of the report;

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Comment: The effective date of the appraisal establishes the context for the value opinion, while the

date of the report indicates whether the perspective of the appraiser on the market and property as of

the effective date of the appraisal was prospective, current, or retrospective.

(vii) summarize the scope of work used to develop the appraisal;

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Comment: Because intended users’ reliance on an appraisal may be affected by the scope of work,

the report must enable them to be properly informed and not misled. Sufficient information includes

disclosure of research and analyses performed and might also include disclosure of research and

analyses not performed.

When any portion of the work involves significant personal property appraisal assistance, the appraiser

must summarize the extent of that assistance. The name(s) of those providing the significant personal

property appraisal assistance must be stated in the certification, in accordance with Standards Rule 8-3.

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77 See Advisory Opinion 36,

Identification and Disclosure of Client, Intended Use, and Intended Users

.

78 See Advisory Opinion 36,

Identification and Disclosure of Client, Intended Use, and Intended Users

.

79 See Advisory Opinion 7,

Marketing Time Opinions

, and Advisory Opinion 35,

Reasonable Exposure Time in Real and Personal Property

Opinions of Value

.

80 See Advisory Opinion 34,

Retrospective and Prospective Value Opinions

.

81 See Advisory Opinion 28,

Scope of Work Decision, Performance, and Disclosure

and Advisory Opinion 29,

An Acceptable Scope of Work

.

82 See Advisory Opinion 31,

Assignments Involving More than One Appraiser

.

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