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Geographical Competency
March 6th, 2014 6:56 AM

I think most of you will agree that if you have the choice between an experienced local appraiser and one who is located 50 or 60 miles away, you'll choose the local appraiser. But most realtors think they have no input into who is chosen to complete an appraisal on their pending sale. I would like to counter that thinking with one of the requirements of the Uniform Standards of Professional Appraisal Practice, otherwise known as USPAP.

USPAP requires an appraiser to have sufficient geographic experience to complete a reliable report and if that experience is lacking the appraiser must disclose what steps will be taken to compensate for this lack of experience in order to complete a reliable report.

Geographic competency is arbitrary and subjective so appraisers can be somewhat opaque on this- unless you ask them direct questions about their experience when they call to get access to your listing.

I'd ask the following questions when an appraiser calls:

  • Where are you located?
  • Do you consider yourself geographically competent to complete appraisals in this area?
  • How many have you completed in this school district within the last 3 months?
  • How many homes like my listing have you recently appraised?

If you're happy with the answers you get, then let the appraiser do his or her job. Just asking those few questions will keep the appraiser much sharper on the assignment knowing that you may be watching over their shoulder.

If you're not satisfied with the answers tell the appraiser nicely that you would be more comfortable with an appraiser with greater local experience, and ask the appraiser to request that his company send someone with those qualifications. You'll probably startle some appraisers so be prepared for a little push back, but a good, experienced appraiser will appreciate and respect your professionalism and will happily redirect the assignment.


Posted in:General
Posted by Scott Brown on March 6th, 2014 6:56 AMPost a Comment

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