appraisals
MortgageBroker mbabc.ca winter 2014 | 31
• Ask about important features of such as
original date of construction and dates of any
major additions or renovations;
• Gather information about recent marketing
activity of the home.
Consumers oen ask for a preliminary
estimate of value before the appraiser leaves
the property. However, it is important for
consumers to understand that most of the
collecting process occurs aer the inspection.
Estimating the market value requires the
appraiser to complete a thorough analysis
of market conditions and market activity.
It is oen a complex process that involves
collecting and analyzing between three and
10 (sometimes more) comparable properties
in order to form a reliable estimate of market
value. is is what the consumer is paying for;
an independent and unbiased opinion of value
by a qualified appraisal professional.
Who is the appraiser's client?
Appraisers work on a confidential basis
with their clients, in the same way as other
professionals such as lawyers and accountants.
When a mortgage broker or lender requests
an appraisal, they are the appraiser's client,
regardless of who pays the appraisal fee. Under
the
AIC's Professional Appraisal Practice, any
discussions on, or disclosure of, information
in an appraisal report must be done with the
written consent of the appraiser's client.
When a lending institution requires an
appraisal report on a property, they will oen
engage an
AMC to act as an intermediary to
facilitate the appraisal process on their behalf.
In the process where an
AMC has acted for
a lending institution, the
AMC is considered
to be the client and retains control over the
appraisal report.
Education and accreditation
AIC grants the distinguished Accredited
Appraiser Canadian Institute –
AACI™ and
the Canadian Residential Appraiser -
CRA™ to
individuals across Canada and around
the world. For more information visit:
appraisal.bc.ca. For a complete copy of the
Consumer's Guide to Understanding the
Residential Appraisal Process visit: aicanada.ca/
industry-resources/consumer-guides. n
Janice P. O'Brien is the executive director of the
Appraisal Institute of Canada-BC
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