Generally, appraising is a long term career. Requirements to become a licensed appraiser have increased more than ever in the past. So it goes without question in this day and age that real estate appraisal can certainly be dubbed a profession rather than a trade. As with any profession we have a strict ethical code.
For an appraiser the primary obligation is to their client. Generally, in residential practice, the appraiser’s client is the lender ordering the appraisal. Appraisers are required to only disclosing information to their clients, and as a homeowner, if you desire to review the appraisal document, you generally have to get it from your lender. Other obligations also include, accurate figures appropriate to the parameters of the assignment, attaining and keeping an adequate level of competency and education, and the appraiser must conduct him or herself as a professional. Here at AppraisEZ, LLC, we take these ethical responsibilities very to heart.
Appraisers may also have fiduciary obligations to third parties, including homeowners, buyers and sellers, or others. Normally the third parties are specifically defined in the appraisal report. An appraiser’s fiduciary responsibility is restricted to those third parties who the appraiser is aware of, based on the scope of work or other written parameters of the order.
There are also ethical standards that have nothing to do with clients and others. For example, appraisers must be able to produce their work files for a minimum of five years – something else AppraisEZ, LLC takes very seriously.
We only perform to the highest ethical standards possible. We never do assignments on contingency fees. That is, we don’t agree to do an appraisal report and collect the fee only if the loan closes. We don’t do assignments on percentage fees. That is probably the appraisal industries biggest taboo, because it would tend to make appraisers increase the value of homes or properties to increase their paycheck. We don’t do that. Other unethical practices may be established by state law or professional organizations that the appraiser belongs.
The Uniform Standards of Professional Appraisal Practice (USPAP) also defines a violation in ethics as accepting of an assignment that is contingent on “the reporting of a pre-determined result (e.g., opinion of value),” “a direction in assignment results that favors the cause of the client,” “the amount of a value opinion,” as well as other situations. We diligently follow these rules to the letter which means you can be confident we are doing everything we can to objectively determine the home or property value.
With AppraisEZ, LLC, you won’t have any doubts that you’re receiving 100 percent ethical, professional service.