Property Valuation

A Louisiana appraiser performing an appraisal of a property in a flood zone must disclose in the appraisal report:

AWhether NFIP coverage is available at a specific premium
BThe flood zone designation and how it affects the property's value and marketability✓ Correct
CThe exact flood insurance premium for the property
DWhether the seller has a current flood insurance policy

Explanation

An appraiser must identify the flood zone designation (from FEMA FIRM maps) and address how the flood zone status affects the property's value and marketability. Properties in high-risk flood zones may require mandatory flood insurance, which affects financing and buyer pool.

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