Uniform Standards of Professional Appraisal Practice (USPAP) Practice Exam

Can an appraiser use the appraised value of a property for other purposes after it has been disclosed to a client?

1. Yes, at any time

2. No, it remains confidential

3. Yes, with written consent from the client

4. No, unless the appraisal is revised

The correct answer is: Yes, with written consent from the client

The rationale for the correct answer is rooted in the principles of confidentiality and ethics that govern appraisers’ conduct. According to the Uniform Standards of Professional Appraisal Practice (USPAP), an appraiser is required to maintain confidentiality with respect to the assignment results and to the client’s information. This confidentiality extends to the appraised value of the property once it has been disclosed to the client. The option stating that the appraiser can use the appraised value for other purposes with the client's written consent aligns with these principles. It underscores the importance of obtaining explicit permission from the client before utilizing any appraisal results for additional purposes. This ensures that the client's expectations for confidentiality are respected and that the appraiser maintains ethical standards. In contrast, other options lack the necessary consideration for client consent or confidentiality and thus do not align with professional standards. For instance, stating that an appraiser can use the appraised value at any time disregards the ethical obligation to the client. Similarly, asserting that it remains confidential entirely or can only be used unless revised does not recognize the possibility of obtaining consent for such usage.