Transfering an appraisal report

[App601]

If an appraisal report for a conventional loan is transferred from Bank A to Bank B the appraiser cannot readdress the report if asked by Bank B. This is even though Bank B has a transfer letter.

This is clearly stated in AO 26

Also confirmed in FAQ page 244 USPAP manual 2020-21

However, can Bank B ask for corrections or revisions to the appraisal report?

I believe it cannot. However, it can be done if channeled and approved by Bank A, the original client

Is this stated in any section of the USPAP manual? I have searched several pages in the manual and have not found a statement that specifically says something similar to “if an appraisal report is transferred the appraiser cannot revise or alter the report unless asked and authorized by the original client. “ Is it stated somewhere in the manual?

If it is can you mentioned the section and page?

 

[RSW]

How can client A cancel something that has already been completed?

 

[KONA]

New assignment

 

[Terrel L. Shields]

I do not want B for a client unless they already are, and I would offer to write a new one for them if they are my customer.

 

[App601]

How can client A cancel something that has already been completed?

Client A issued a transfer letter to client B

 

[App601]

How can client A cancel something that has already been completed?

Client A issued a transfer letter to client B

 

[App601]

New assignment

Correct If I change the lender it is a new assignment but Bank B just wanted to USE the report. For this reason all changes have to be requested by Bank A

 

[App601]

How can client A cancel something that has already been completed?

Bank A did not cancell it They issued a transfer letter authorizing Bank B to use it AS IS For this reason Bank B has no right in asking me to change anything in the appraisal report. So what I want to know is if this is written anywhere in the USPAP manual

 

[RSW]

USPAP only applies to appraiser's.

 

[Mike Kennedy]

USPAP 2020-21 "CLIENT: the party or parties (i.e., individual, group, or entity) who engage an appraiser by employment or contract in a specific assignment, whether directly or through an agent."

"INTENDED USE: the use(s) of an appraiser’s reported appraisal or appraisal review assignment results, as identified by the appraiser based on communication with the client at the time of the assignment. 7

INTENDED USER: the client and any other party as identified, by name or type, as users of the appraisal or appraisal review report by the appraiser, based on communication with the client at the time of the assignment. 8

Opinion: new Client- new appraisal assignment.


"CONFIDENTIALITY: An appraiser must protect the confidential nature of the appraiser-client relationship.14 An appraiser must act in good faith with regard to the legitimate interests of the client in the use of confidential information and in the communication of assignment results. An appraiser must be aware of, and comply with, all confidentiality and privacy laws and regulations applicable in an assignment.15 14 See Advisory Opinion 27, Appraising the Same Property for a New Client. 15 For example, pursuant to the passage of the Gramm-Leach-Bliley Act in November 1999, some public agencies have adopted privacy regulations that affect appraisers. The Federal Trade Commission (FTC) issued two rules. The first rule (16 CFR 313) focuses on the protection of ”non-public personal information” provided by consumers to those involved in financial activities “found to be closely related to banking or usual in connection with the transaction of banking.” These activities include “appraising real or personal property.” See GLB-Privacy. The second rule (16 CFR 314) requires appraisers to safeguard customer non-public personal information. See GLB-Safeguards-Rule. Significant liability exists for appraisers should they fail to comply with these FTC rules."