Finance
Iowa real estate professionals should be aware that a lender's appraisal:
AAlways matches the purchase price negotiated by the parties
BIs performed for the lender's benefit to protect the collateral, not necessarily to determine market value for the buyer✓ Correct
CCan be ordered by the buyer to get the lowest possible value
DIs performed by the Iowa Real Estate Appraiser Examining Board
Explanation
A lender-ordered appraisal is conducted to protect the lender's collateral interest in the property. While it determines market value, its primary purpose is to ensure the loan amount does not exceed the property's value.
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