USPAP 2018-2019 Edition
© The Appraisal Foundation
Comment: Disclosing the fact that the appraiser has previously appraised the property is permitted except
in the case when an appraiser has agreed with the client to keep the mere occurrence of a prior assignment
confidential. If an appraiser has agreed with a client not to disclose that he or she has appraised a property,
the appraiser must decline all subsequent assignments that fall within the three-year period.
In assignments in which there is no appraisal or appraisal review report, only the initial disclosure to the client
An appraiser must disclose that he or she paid a fee or commission, or gave a thing of value in connection with
the procurement of an assignment.
Comment: The disclosure must appear in the certification and in any transmittal letter in which conclusions
are stated; however, disclosure of the amount paid is not required. In groups or organizations engaged in
appraisal practice, intra-company payments to employees for business development do not
An appraiser must not accept an assignment, or have a compensation arrangement for an
assignment, that is contingent on any of the following:
1. the reporting of a predetermined result (e.g., opinion of value);
2. a direction in assignment results that favors the cause of the client;
3. the amount of a value opinion;
4. the attainment of a stipulated result (e.g., that the loan closes, or taxes are reduced); or
5. the occurrence of a subsequent event directly related to the appraiser’s opinions and specific to the
An appraiser must not advertise for or solicit assignments in a manner that is false, misleading, or exaggerated.
An appraiser must affix, or authorize the use of, his or her signature to certify recognition and acceptance of his or
her USPAP responsibilities in an appraisal or appraisal review assignment (see Standards Rules 2-3, 4-3, 6-3, 8-3,
and 10-3). An appraiser may authorize the use of his or her signature only on an assignment-by-assignment basis.
An appraiser must not affix the signature of another appraiser without his or her consent.
Comment: An appraiser must exercise due care to prevent unauthorized use of his or her signature. An
appraiser exercising such care is not responsible for unauthorized use of his or her signature.
An appraiser must protect the confidential nature of the appraiser-client relationship.
An appraiser must act in good faith with regard to the legitimate interests of the client in the use of confidential
information and in the communication of assignment results.
An appraiser must be aware of, and comply with, all confidentiality and privacy laws and regulations applicable
in an assignment.
12 See Advisory Opinion 27,
Appraising the Same Property for a New Client.
13 For example, pursuant to the passage of the Gramm-Leach-Bliley Act in November 1999, some public agencies have adopted privacy
regulations that affect appraisers. The Federal Trade Commission (FTC) issued two rules. The first rule (16 CFR 313) focuses on the
protection of ”non-public personal information” provided by consumers to those involved in financial activities “found to be closely related
to banking or usual in connection with the transaction of banking.” These activities include “appraising real or personal property.” See GLB-
Privacy. The second rule (16 CFR 314) requires appraisers to safeguard customer non-public personal information. See GLB-Safeguards-
Rule. Significant liability exists for appraisers should they fail to comply with these FTC rules.