12 Ch5 The Reporting Process quiz

Question 1

An appraiser may omit the client’s identity from the appraisal report, at the client’s request, as long as the appraiser documents the identity of the client in the workfile.

Answer 1

TRUE

Question 2

In most residential assignments, your client will probably require which of the report options?

Answer 2

Appraisal Report

Question 3

Which statement is TRUE regarding an appraiser using common appraisal report forms that have the definition of value pre-printed as part of the form?

Answer 3

The form serves to provide a definition of value, and cite the source for the definition

Question 4

What two dates must be in every written real property appraisal report, as required by Standards Rule 2-2?

Answer 4

Effective date and date of report

Question 5

What type of appraisal report is typically requested by clients in mortgage lending situations?

Answer 5

Appraisal Report

Question 6

The USPAP reporting requirements set forth in Standards Rule 2-2 are

Answer 6

Minimum requirements

Question 7

The USPAP reporting requirements are

Answer 7

Minimum requirements and may be exceeded when necessary.

Question 8

Before accepting an assignment, an appraiser is required to disclose to the client any prior services that the appraiser provided regarding the subject property

Answer 8

Within the past 3 years

Question 9

If a client-requested appraisal report form does not contain sufficient information for the report to be properly understood, what should an appraiser do?

Answer 9

Supplement the form with the required information

Question 10

What must the appraiser do if his/her appraisal client wishes to remain anonymous?

Answer 10

Omit the client’s identity from the report, but document the client’s identity in the workfile

Question 11

Appraiser Erin accepts an appraisal assignment from a mysterious client, who instructs her not to disclose his identity. What must Erin do under USPAP regarding this unusual request?

Answer 11

Omit the client’s identity from the report, but document the client’s identity in the workfile

Question 12

Sarah is completing an appraisal, and is reporting it on the URAR appraisal report form. What does she have to do in her report concerning her highest and best use analysis?

Answer 12

Summarize it.

Question 13

If the appraisal of a complex property makes performance of one or more of the valuation approaches impossible or unnecessary, the appraiser

Answer 13

Must explain why he or she did not complete the approach(es)

Question 14

Which is one of the written report options under USPAP?

Answer 14

Appraisal Report

Question 15

When an appraiser receives an assignment to appraise a complex property, it is safe to assume that the client is aware of the property’s complexity.

Answer 15

FALSE

Question 16

Before accepting an assignment, an appraiser is required to disclose to the client any prior services that the appraiser provided regarding the subject property

Answer 16

Within the past 3 years

Question 17

When reporting the appraisal of a complex property, the report must contain sufficient information to enable proper understanding on the part of

Answer 17

The intended users

Question 18

Appraisal involves two processes. The first is appraisal development. What is the second?

Answer 18

Reporting

Question 19

Robert is appraising a single-family home for liquidation value, and he is writing an Appraisal Report in a narrative format. Which statement is TRUE regarding the reporting requirements for this assignment?

Answer 19

The report must state the type and definition of value, and cite the source for the definition

Question 20

When reporting the appraisal of a complex property, the appraiser must state all extraordinary assumptions clearly and conspicuously, and state that their use might

Answer 20

Have affected the assignment results

Question 21

What type of written appraisal report allows the appraiser to start with a “blank canvas” and then create the report as he or she sees fit?

Answer 21

Narrative report

Question 22

Why do many residential appraisers fear writing narrative reports?

Answer 22

They are unfamiliar with the report style because they rarely use it

Question 23

The URAR form is intended for use in reporting

Answer 23

Market value

Question 24

The Appraisal Institute’s “Appraisal Report - Residential” is designed for various intended uses, and does not need to be supplemented with additional data and analysis.

Answer 24

FALSE

Question 25

If a residential appraiser decides to write a narrative report, where is a good source of help and information regarding formatting the report?

Answer 25

His/her residential forms software program

Question 26

Appraiser Bart wants to use the URAR form to report an appraisal on a property for a divorce situation. What should he do?

Answer 26

Not use the form for this purpose

Question 27

It is inappropriate for an appraiser to use the URAR form to report the results of an appraisal prepared for estate tax purposes.

Answer 27

TRUE

Question 28

The intended user of a URAR appraisal report is

Answer 28

The lender/client

Question 29

What is another name for the Fannie Mae URAR form?

Answer 29

1004 form

Question 30

Which of these sections would probably be part of the Introduction section of a narrative appraisal report?

Answer 30

Certification, Letter of transmittal, Table of contents

Question 31

An appraiser may omit the client’s _______________, at the client’s request, as long as the appraiser documents the identity of the client in the workfile.

Answer 31

name

Question 32

Commercial appraisers typically use what type of report?

Answer 32

Narrative Report

Question 33

What type of written appraisal report allows the appraiser to start with a “blank canvas” and then create the report as he or she sees fit?

Answer 33

Narrative report

Question 34

When reporting value, USPAP requires you to report

Answer 34

The type, definition and source of the definition

Question 35

SR 2-1 reporting requirements are important in all real property appraisal reports, but are especially critical in the appraisal of what type of property?

Answer 35

Complex

Question 36

An alternative to the Fannie Mae/Freddie Mac forms is the form recently created by the Appraisal Institute, called:

Answer 36

Appraisal Report - Residential. An alternative to the Fannie Mae/Freddie Mac forms is the form recently created by the Appraisal Institute. It is copyrighted as form AI-100.04 and is called “Appraisal Report - Residential”. It was created in 2005 to fill the gap created by Fannie Mae and Freddie Mac restricting the use of their forms to lending purposes. (Ch. 5, Residential Reports)