The Appraisal Foundation Takes Action to Build Trust, Stamp Out Bias (ARM E JOURNAL | 2024 • Volume 8 • Issue 1)
February 7, 2025
Dave Bunton
President, The Appraisal Foundation
Abstract: Over the last three years, the appraisal profession has been having serious conversations about valuation bias and the threat it poses to public trust. At The Appraisal Foundation, public trust is our mission, and even one instance of appraisal bias or discrimination hurts the trust that the public places in appraisers. This article presents the efforts of our boards to ensure that the standards and qualifications that real property appraisers must adhere to are strong and leave no room for an appraiser to discriminate.
As a result of these conversations, The Appraisal Standards Board (ASB) has quickly turned their focus to the Ethics Rule. After hearing from stakeholders that this rule needed a second look, the ASB started a comprehensive review of the Ethics Rule.
This process included bringing in a leading fair housing law firm, Relman Colfax, to assist in the analysis. Relman Colfax’s years of experience and expertise in fair housing guided the board as they worked to propose and eventually adopt an updated Ethics Rule.
Over the course of five exposure drafts, the ASB heard from stakeholders across the profession including appraisers, users of appraisal services, consumers, and regulators. Gathering and considering all this feedback strengthened what the ASB adopted as the new version of the Ethics Rule. The extensive process also helped lead to several other changes to USPAP, and the adoption of a new edition of the Uniform Standards of Professional Appraisal Practice (USPAP), which goes into effect on January 1, 2024. As the new Ethics Rule has gone into effect, the ASB continues to gather public feedback to see if any additional guidance is needed to better equip appraisers to understand their nondiscrimination requirements stated in the Ethics Rule.
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