Property Valuation
A Mississippi appraiser's final reconciled value is $375,000. The lender wants the appraiser to change the value to $395,000 to support the loan. The appraiser must:
AChange the value since the lender is the client and pays the fee
BRefuse — appraisers must maintain independence and cannot change a credible value conclusion due to pressure from clients✓ Correct
CAccept the change with a disclaimer
DResign the assignment and allow the lender to get a second opinion
Explanation
USPAP's Ethics Rule and independence requirements strictly prohibit appraisers from altering value conclusions based on client pressure to support a predetermined result. Pressuring an appraiser to hit a value is a form of appraiser coercion prohibited by federal law (Dodd-Frank) and USPAP.
Related Mississippi Property Valuation Questions
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