Certified Residential Appraiser Practice Exam

Which Standard defines the requirements for reporting in appraisal review?

1. Standard 2

2. Standard 4

3. Standard 6

4. Standard 7

The correct answer is: Standard 4

Standard 4 outlines the requirements for reporting in appraisal review. This standard is specifically designed to address the unique aspects of appraisal review assignments, including how to communicate relevant findings to the intended users. It emphasizes the need for clarity and thoroughness in reporting, ensuring that the review process is transparent and that all necessary information is conveyed effectively. Standard 4 requires appraisers to document their review process, outlining the steps taken to evaluate the original appraisal and any conclusions reached. This not only supports accountability but also enhances the overall integrity of the appraisal review. Understanding this standard is essential for appraisers since it guides them in producing reports that meet both professional and regulatory expectations. The other standards focus on different aspects of appraisal practice, such as the actual appraisal process, ethics, and competency, which do not specifically address the nuances of appraisal review reporting. Therefore, Standard 4 is the correct choice for this question.