In the appraisal industry, we often use the word, inspection when referring to gathering firsthand information relevant to the value of our subject and comparable real estate
properties. Fannie Mae Form 1004,
the most used residential real estate appraisal report form, specifies in the Scope of Work Section, “The appraiser must, at minimum: (1) perform a complete visual inspection of the interior and exterior areas of the subject property.” The Uniform Standards
of Professional Appraisal Practice (USPAP)
also use the word inspection. I think it would be clearer to users of appraisals if the appraisal profession used the word, viewing instead of inspection.
The word inspection is typically associated with home inspectors who are specialists trained more extensively than appraisers are at determining a home’s condition. For example,
a home inspector might remove the cover of a furnace to check the condition of the parts inside and to test the effectiveness of the furnace. An appraiser is more likely to just view the outside of the furnace, turn on the furnace for some types of appraisals,
ask how old the furnace is, and call in an expert to check further or make assumptions if there are uncertainties.
Here is a video from a recent blog post about
What Does the Appraiser Do on Inspection
that describes a little more detail about the appraiser’s viewing of a property.
If you find this information interesting or useful, please
to our blog and like us on Facebook.
Also, please support us by making Portland real estate appraisal related comments on our blogs and YouTube
If you need Portland, Oregon area residential real estate appraisal services for any reason, please
request appraisal fee quote
or book Gary F. Kristensen to speak
at your next event. We will do everything possible to assist you.
Thanks for reading,