Property Valuation
In North Dakota, when an appraiser uses an automated valuation model (AVM) to assist in valuing a property, USPAP requires the appraiser to:
AAccept the AVM value without further analysis
BUse the AVM as one tool and exercise professional judgment in developing a credible opinion of value✓ Correct
CDisclose the AVM to the state only
DReplace the traditional appraisal with the AVM
Explanation
AVMs are tools that provide data and statistical estimates, but they do not replace an appraiser's professional judgment. USPAP requires appraisers to develop credible conclusions through competent analysis, using AVMs as data, not as the final answer.
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