Question

"A Supervisory Appraiser wishes to accept an assignment to appraise a complex property, because he believes it would be a good opportunity to instruct his Trainee Appraiser. However, the Supervisory Appraiser has never appraised a property of this type and does not have the knowledge and experience to complete the assignment competently, and does not want to take the time to obtain the knowledge and experience. What must the Supervisory Appraiser do in accordance with USPAP?

(A) Complete the assignment using an extraordinary assumption about competency
(B) Use the JURISDICTIONAL EXCEPTION RULE to waive the requirements of the COMPETENCY RULE
(C) Obtain the client's permission to complete the assignment outside of USPAP
(D) Decline the assignment

Answer 1

In accordance with USPAP, a Supervisory Appraiser without the necessary expertise and unwilling to obtain it must decline an assignment to appraise a complex property to maintain professional and ethical standards.

Step-by-step explanation:

When a Supervisory Appraiser is offered an assignment to appraise a complex property but lacks the necessary knowledge and experience, and does not wish to acquire it, the USPAP (Uniform Standards of Professional Appraisal Practice) requires the appraiser to decline the assignment. This is because USPAP emphasizes the importance of competence in assignment performance. Should the appraiser lack the requisite competence, they must either decline the assignment or take the necessary steps to attain competence, which could include acquiring the knowledge and experience prior to performing the assignment or arranging for assistance from a qualified appraiser who has the appropriate expertise.

In this scenario, since the Supervisory Appraiser does not want to invest time to become competent and cannot deliver a competent performance appraisal, it is essential according to USPAP to decline the assignment. This ensures that the appraisal is performed by someone with the appropriate level of competency and maintains the integrity and quality of the appraisal process. While this decision may disappoint the Trainee Appraiser looking forward to the learning opportunity, it is a necessary measure to uphold professional and ethical standards.