The requirement for USPAP compliance in an appraisal assignment could be the result of:

• A. Agreement with the client
• B. Any of these answers
• C. Voluntary choice by the appraiser
• D. Law or regulation

Answer: (B)

USPAP compliance can be required from several different sources, and each of these paths can create a binding obligation in an appraisal assignment. If the client’s engagement contract requires USPAP compliance, the appraiser must follow it. Laws or regulations at the federal or state level can mandate USPAP-compliant work for certain transactions or licensing, such as federally related transactions under FIRREA. An appraiser may also voluntarily choose to adhere to USPAP to uphold professional ethics, boost credibility, or meet common client expectations. Because any of these scenarios can trigger a requirement to follow USPAP, this answer—any of these—fits the question.