What could necessitate USPAP compliance in an appraisal assignment?

Compliance with the Uniform Standards of Professional Appraisal Practice (USPAP) is required primarily when mandated by law or regulation. USPAP establishes a set of guidelines and ethical principles aimed at ensuring the integrity of appraisal practices. If a jurisdiction requires appraisals to be conducted under USPAP standards, then any appraisal performed within that jurisdiction must adhere to these guidelines to maintain legal validity and recognition.

For instance, many government entities utilize USPAP to ensure consistency and reliability in appraisals for taxation, lending, and other official purposes. This legal requirement ensures that appraisal professionals uphold specific standards related to competence, ethics, and reporting, safeguarding the interests of clients and the public alike.

While industry standards, value estimation aspects, and client preferences can influence the appraisal process, they do not independently necessitate compliance with USPAP. The definitive requirement arises from legal or regulatory frameworks that govern appraisal practices, making this the correct context for when USPAP compliance is necessary.