Appraisal Review

WHY “appraisal review” for Lenders?

• Financial institutions are required to implement a program of independent real property appraisal and evaluation. Such a program is put into place to ensure the independence of the valuation process and maintain reliable and credible lending practices.

• The qualified Review Appraiser has the experience, education, judgment, and ethics to fully understand the use of an appraisal in residential lending. Such a Review Appraiser can identify what may be typical and common appraisal problems versus that which is likely intentional mortgage fraud.

• Appraisal Review by a qualified expert may uncover: (A) Failure of the appraiser to comply with professional standards as put forth in the Uniform Standards of Professional Appraisal Practice (USPAP). (B) Approaches to value that are incorrect. (C) Inconsistent or unreliable data in the appraisal.

• The process of Appraisal Review provides the Lender with Quality Control (a.k.a., “Appraisal Quality Assurance”) for determining the reliability of appraisals upon which the Lender relies!