Confidentiality in using comparable sales or rentals

[Terrel L. Shields]

what is interpreted as a violation of confidentiality for USPAP purposes?

Read GLB Privacy Act closely. USPAP mirrors that. The confidential information has to be delivered proactively for any "facts" - so rents etc are not confidential unless the person providing that information told you to keep it confidential.

 

[Fernando]

Read GLB Privacy Act closely. USPAP mirrors that. The confidential information has to be delivered proactively for any "facts" - so rents etc are not confidential unless the person providing that information told you to keep it confidential.

I thought all information provided to me my client as well as conversations are confidential and only to be used in the appraisal report.
I didn't know I could disclose such privy information unless I was specifically told not to. Are we like journalist and politicians, speaker has to say "This is off the record"?

 

[Charles West]

I thought all information provided to me my client as well as conversations are confidential and only to be used in the appraisal report.
I didn't know I could disclose such privy information unless I was specifically told not to. Are we like journalist and politicians, speaker has to say "This is off the record"?

Time to go to bed.

 

[sputnam]

Per USPAP, confidentiality applies to your opinions and conclusions and to any information that the Client requests that you keep confidential.

 

[Fernando]

Per USPAP, confidentiality applies to your opinions and conclusions and to any information that the Client requests that you keep confidential.

Real Estate agents have higher confidentiality in keeping their clients secret to others.
I didn't realize USPAP confidentiality has low bar.

 

[Gobears81]

Real Estate agents have higher confidentiality in keeping their clients secret to others.
I didn't realize USPAP confidentiality has low bar.

I agree, but wonder if the appraisal profession has worked to maintain this. We could really be hamstrung in our reporting if only being able to disclose what is publicly available. Cap rates and expense data would need to be redacted or limited to surveys. If in a non-disclosure state, only sales on MLS would presumably be allowed

 

[Fernando]

I agree, but wonder if the appraisal profession has worked to maintain this. We could really be hamstrung in our reporting if only being able to disclose what is publicly available. Cap rate discussion would be limited to surveys and expense support would be limited to the "retained in file" statement. If in a non-disclosure state, only sales on MLS would presumably be allowed

When I did an appraisal on a recent comp, I have inside info on that comp which most other appraisers don't have. I can't disclose I appraised that property nor provide privy info but I am best appraiser to compare that comp to subject in determining subject's value. Thus certain appraisers have more knowledge than others.

 

[George Hatch]

WRT Assignment Results



Take note of the point that the term is defined as (the appraisers opinions and conclusions). And then it proceeds to comment that the physical characteristics are not part of (the appraiser's opinions and conclusions).

 

[Terrel L. Shields]

I thought all information provided to me my client as well as conversations are confidential and only to be used in the appraisal report.

Technically, you are treated as a "fiduciary" and therefore should send out notices annually about your privacy policy.

Only information that the client has identified a confidential and is not available from any other source. There are exceptions written into GLB Privacy act - sections 14-15 as an example where certain info is not to be distributed if made available to you.

This is in every transmittal letter I produce

As providers of personal financial services we are required by law to inform clients of our policies​

regarding privacy of client information. We have been and continue to be bound by professional standards​

of confidentiality by the Uniform Standards of Professional Appraisal Practice (USPAP.) These standards​

are even more stringent than those required by law. Therefore, we have always protected your right to​

privacy. We collect nonpublic personal information that you provide for the purpose of preparing real estate​

appraisals and real estate consulting reports​

 

[Fernando]

Technically, you are treated as a "fiduciary" and therefore should send out notices annually about your privacy policy.

Only information that the client has identified a confidential and is not available from any other source. There are exceptions written into GLB Privacy act - sections 14-15 as an example where certain info is not to be distributed if made available to you.

This is in every transmittal letter I produce

As providers of personal financial services we are required by law to inform clients of our policies​

regarding privacy of client information. We have been and continue to be bound by professional standards​

of confidentiality by the Uniform Standards of Professional Appraisal Practice (USPAP.) These standards​

are even more stringent than those required by law. Therefore, we have always protected your right to​

privacy. We collect nonpublic personal information that you provide for the purpose of preparing real estate​

appraisals and real estate consulting reports​

It's rather misleading. Public does not understand the arcane USPAP and how weak it is in confidentiality.
There should be a specific disclosure to client and owner that they agree that the information provided to appraiser can be used in future appraisal reports.