UP Standards

1.2. Problem Identification. The problem identification process ensures that the appraiser identifies and understands the critical assignment elements associated with developing an appraisal for federal acquisition purposes under these Standards. Federal appraisal requirements are often different than those of private clients, and the appraiser must fully understand and comply with these requirements.  The scope of work10 must address seven critical assignment elements for each appraisal assignment:  • Client  • Intended users  • Intended use  • Type and definition of value  • Effective date  • Relevant characteristics about the subject property  • Assignment conditions   

1.1. Introduction. These Standards reflect the application of the appraisal process to valuation assignments for federal property acquisitions. The goal of every appraisal prepared under these Standards is a well-supported opinion of market value that is credible, reliable, and accurate. These requirements and rules are set forth to ensure that the appraiser’s opinion of market value can be used for purposes of just compensation under the United States Constitution. The appraisal process provides a logical framework for the identification and proper solution of an appraisal problem. The general steps of the appraisal process are:  • Problem identification  • Scope of work  • Data collection  • Data analysis  • Application of approaches to value  • Reconciliation and final opinion of market…