Uniform Standards of Professional Appraisal Practice (USPAP) Practice Exam

What must oral appraisal reports for real property address?

1. Only the appraisal amount

2. Substantive matters that apply to the report

3. Client expectations

4. Market trends and conditions

The correct answer is: Substantive matters that apply to the report

Oral appraisal reports must address substantive matters that apply to the report because they convey essential information about the analysis and conclusions reached during the appraisal process. While the appraisal amount and other facets might be significant, the focus of an oral report is to ensure that the client or audience understands the core factors and reasoning behind the appraisal. Such substantive matters can include the methodologies used, relevant assumptions, and critical findings that add depth and context to the appraisal conclusion. Addressing these components helps maintain the integrity of the appraisal practice and aligns with USPAP requirements, ensuring that the appraisal is communicated effectively and thoroughly. Other options, while important elements in the appraisal process, do not encapsulate the primary focus of what an oral report must specifically address.