Certified Residential Appraiser Practice Exam

When disclosing a prior appraisal of a subject property, what must an appraiser be careful to avoid?

1. Disclosing the property's location

2. Disclosing confidential information from the previous assignment

3. Providing the date of the last appraisal

4. Forgetting to mention the client

The correct answer is: Disclosing confidential information from the previous assignment

When disclosing a prior appraisal of a subject property, it is critical for an appraiser to avoid disclosing confidential information from the previous assignment. Confidentiality is a foundational principle in the appraisal profession, as outlined by the Uniform Standards of Professional Appraisal Practice (USPAP). This principle mandates that appraisers must safeguard the information related to prior assignments and only disclose data that is permitted by both law and ethical standards. The disclosure of confidential information could compromise the privacy of the individuals or entities involved in the previous appraisal and can lead to potential legal repercussions. It is essential for appraisers to respect the confidentiality established in previous engagements, maintaining the integrity of the profession. Regarding the other options, while it is necessary to disclose a property's location, provide the date of the last appraisal, and mention the client in the context of information that is not confidential, these components do not violate the confidentiality principle and are typically permissible within standard appraisal practices.