Section 3.3.1
3.3.1. Client.The review appraiser must identify who engaged the review appraiser to perform the appraisal review assignment together with all relevant contact information for the client(s).
Section 3.3
3.3. Problem Identification. The research and analyses necessary to develop credible assignment results will vary depending on the scope of work for an appraisal review assignment. For example, technical reviews may be conducted as either desk reviews or field reviews. In addition to confirmation that the report was prepared in accordance with these Standards, a desk review involves a thorough review and analysis of the information and analysis contained in the appraisal report under review and a careful examination of the internal logic and consistency. In a desk review, the review appraiser limits the examination to the information and analysis presented within the appraisal report. The data contained within the appraisal report may or may not be confirmed and the…
Section 3.2
3.2. Types of Appraisal Reviews.Federal acquisitions generally involve two types of agency appraisal reviews: a technical review, which can only be developed and reported by an appraiser, and an administrative (or compliance) review, which may be performed by a non-appraiser.153 A technical review is developed and reported by an appraiser in accordance with these Standards, which require conformity with USPAP and with agency polices, rules, and regulations. In completing a technical review, the review appraiser renders opinions on the quality of an appraisal report and whether the opinion(s) of value are adequately supported and in compliance with all appropriate standards, laws, and regulations relating to the appraisal of property for federal acquisition purposes. In addition, as a part of a…
Section 3.1.3
3.1.3. Rebuttal Experts.Contract review appraisers may be engaged as rebuttal experts in litigation. Rebuttal is a legal term meaning evidence introduced by a party to meet new facts brought out in the opponent’s case in chief.149 Its function is to “explain, repel, counteract or disprove evidence of the adverse party.”150 Rebuttal experts are typically engaged by the Department of Justice in condemnation trial proceedings to contradict or rebut the analysis and conclusions of another appraiser. As a rebuttal expert, a review appraiser may be asked to review an entire appraisal report or to focus on a specific element of an appraisal (for example, the quality and reasonableness of the highest and best use conclusion or a specific approach to value…
Section 3.1.2
3.1.2. Contract Review Appraisers.Some agencies may have the authority to engage a qualified non-agency review appraiser to review an appraisal report. In most instances the contract review appraiser will be bound by the requirements discussed in Section 3.1.1 above and Section 3.2 below. But different requirements may apply in some instances (e.g., review appraisers engaged as rebuttal experts). Not all agencies have authority to engage non-agency review appraisers. Refer to specific agency regulations, guidelines, and authorities.
Section 3.1.1
3.1.1. Government Review Appraisers.Government review appraisers are often assigned administrative duties in addition to the technical review of individual appraisal reports. Those administrative duties vary from agency to agency and may range from contract administration or counseling management for general valuation issues to assisting the agency to meet both its non-appraisal and appraisal obligations under the Uniform Act. Some of these duties may fall outside the scope of valuation services as defined in USPAP.145 These administrative duties are also considered to fall outside the scope of these Standards and are therefore not covered in the following discussion. The review of appraisal reports by a qualified reviewing appraiser is required. The federal regulations implementing the Uniform Act require agencies to have…
Section 3.1
3.1. Introduction.The appraisal review process in federal acquisitions should be developed and reported in conformity with these Standards, which are compatible with standards and practices of the appraisal profession and with the current edition of USPAP. This Section of the Standards addresses the types of reviews completed by government appraisers (technical reviews and administrative reviews) as well scope of work considerations.
Section 2.5
2.5. Project Appraisal Reports.Some government projects require the acquisition of many parcels of real property, and individual appraisers are assigned to appraise a number of these properties at the same time. On occasion, it is logical to include the appraisal of more than one parcel in a single report. Such project appraisal reports (or multiple-parcel appraisal reports) are not appraisal shortcuts; they are clerical shortcuts. A separate opinion of market value must still be developed for each acquisition; but the results of each valuation can be reported in a more efficient form. Project appraisal reports that meet the criteria set forth here may be acceptable for agency negotiation purposes under the Uniform Act and for initial review purposes by the…
Section 2.4.3
2.4.3. Highest and Best Use and Larger Parcel.The appraiser must describe the factual basis and analysis concerning the highest and best use of the building in which the government’s leasehold is located, including those situations in which the leasehold is the entire building. This analysis is critical in determining the position of the building within the market. This analysis is critical in situations where the property is located in a market in transition. The appraiser must also present the larger parcel analysis developed under Section 1.8. The result of this analysis will dictate whether a before and after valuation must be performed.
Section 2.4.2
2.4.2. Improvements Description.The description of the improvements must address all exterior and interior features of the building improvements in which the leasehold will be located. The physical location of the government’s leasehold space within the building must be described in sufficient detail to allow the client and intended users to understand the impact (if any) of the government’s leasehold on the rest of the building.
