ASA USPAP COURSE FOR 2025-2026
NEW UPDATE EXAM QUESTIONS AND
ANSWERS
Which of these is likely NOT an example of a "code word"? - Answer-Declining property
values
In a business appraisal report, an appraiser includes demographic information that was
copied/pasted directly from the U.S. Census Bureau's website. Included in this
information are references to the ethnic and racial makeup of the census tract in which
the subject is located. Which statement is MOST TRUE regarding this situation? -
Answer-The inclusion of this information in the report can reasonably suggest the
appraiser has considered it as relevant to the opinion of value.
In a business appraisal report, an appraiser includes the following: "The subject is
located across the street from a grocery store that serves the area's immigrant
population." What, if anything, could be wrong with including this statement in the
appraisal report? - Answer-The reference to "immigrants" could indicate the appraiser
has used or relied on national origin, race, or ethnicity in the appraisal
When appraising an apartment complex that is part of a Section 8 housing program, an
appraiser includes information about the presence of other Section 8 housing in the
report. Based on the inclusion of this information, what else would you reasonably
expect to find in the appraisal report? - Answer-Context and explanation as to why
these factors are appropriate and necessary to consider.
An appraiser is valuing a residential property for a refinance loan. When inspecting the
subject property, the appraiser notes that the property owners are Black. The appraiser
is careful to select sales for the sales comparison approach that are similar in size,
room count, physical characteristics, and has to search several miles away to find these
properties in predominately Black neighborhoods. Is this an acceptable practice? -
Answer-No, the appraiser has used or relied upon the property owner's race when
selecting comparable sales.
An appraiser is valuing a two-unit residence that is under contract for purchase. The
appraiser notes that the buyers are Hispanic and selects comparable sales that are
from a different part of town, because the appraiser knows it is predominantly made up
of Hispanic residents. Without having any further information, would this more likely
than not violate USPAP and/or fair housing laws? - Answer-This would likely violate
both fair housing laws and USPAP.
, Why are certain words or terms defined in USPAP? - Answer-To clarify the meaning of
the word or term in USPAP
If a particular word or term is not defined in USPAP, then: - Answer-The standard
dictionary definition of that word or term applies
The definition of assignment elements was retired from USPAP because: - Answer-The
assignment elements listed in the prior definition might be different in an appraisal
review assignment.
The ASB retired the word "misleading" from the DEFINITIONS in USPAP. Why was this
action taken? - Answer-Because its common dictionary definition reflects the way the
term is used in USPAP.
When a word or term is retired from the DEFINITIONS in USPAP, what does it mean? -
Answer-The word or term may still appear in USPAP, and its standard dictionary
definition applies.
An individual who sometimes acts as an appraiser is providing a valuation service in
another capacity. What is this individual's obligation under USPAP? - Answer-They
must not represent themselves as acting in the capacity of an appraiser.
Many individuals, including appraisers, provide valuation services. According to USPAP,
what distinguishes an appraiser from another professional who provides valuation
services? - Answer-The expectation that the individual will perform competently,
independently, impartially, and objectively
An appraiser is valuing a non-residential property. As part of the scope of work, the
appraiser personally views the exterior of the building from the street but does not set
foot on the property or go inside the building. In their appraisal report, may the appraiser
certify that they made a personal inspection of the improvements? - Answer-Yes,
because an exterior-only inspection made by the appraiser is a personal inspection.
An appraiser is valuing a residential property for a mortgage lending transaction. The
client sent the appraiser a detailed report that was prepared by a professional inspector
who was engaged by the client. This report included video clips and high-definition
photographs of every room in the dwelling. The appraiser reviews this material carefully,
develops an opinion of value, and prepares an appraisal report. In the appraisal report,
may the appraiser certify that they made a personal inspection of the subject property? -
Answer-No, because the appraiser did not make a personal inspection as part of the
scope of work for the assignment.
An appraiser had previously made an interior and exterior inspection of a property two
years ago, and has been engaged by a different client to appraise the property again.
The client asks the appraiser not to go to the subject property and instead, use
information from the prior inspection to determine the property's physical characteristics.
NEW UPDATE EXAM QUESTIONS AND
ANSWERS
Which of these is likely NOT an example of a "code word"? - Answer-Declining property
values
In a business appraisal report, an appraiser includes demographic information that was
copied/pasted directly from the U.S. Census Bureau's website. Included in this
information are references to the ethnic and racial makeup of the census tract in which
the subject is located. Which statement is MOST TRUE regarding this situation? -
Answer-The inclusion of this information in the report can reasonably suggest the
appraiser has considered it as relevant to the opinion of value.
In a business appraisal report, an appraiser includes the following: "The subject is
located across the street from a grocery store that serves the area's immigrant
population." What, if anything, could be wrong with including this statement in the
appraisal report? - Answer-The reference to "immigrants" could indicate the appraiser
has used or relied on national origin, race, or ethnicity in the appraisal
When appraising an apartment complex that is part of a Section 8 housing program, an
appraiser includes information about the presence of other Section 8 housing in the
report. Based on the inclusion of this information, what else would you reasonably
expect to find in the appraisal report? - Answer-Context and explanation as to why
these factors are appropriate and necessary to consider.
An appraiser is valuing a residential property for a refinance loan. When inspecting the
subject property, the appraiser notes that the property owners are Black. The appraiser
is careful to select sales for the sales comparison approach that are similar in size,
room count, physical characteristics, and has to search several miles away to find these
properties in predominately Black neighborhoods. Is this an acceptable practice? -
Answer-No, the appraiser has used or relied upon the property owner's race when
selecting comparable sales.
An appraiser is valuing a two-unit residence that is under contract for purchase. The
appraiser notes that the buyers are Hispanic and selects comparable sales that are
from a different part of town, because the appraiser knows it is predominantly made up
of Hispanic residents. Without having any further information, would this more likely
than not violate USPAP and/or fair housing laws? - Answer-This would likely violate
both fair housing laws and USPAP.
, Why are certain words or terms defined in USPAP? - Answer-To clarify the meaning of
the word or term in USPAP
If a particular word or term is not defined in USPAP, then: - Answer-The standard
dictionary definition of that word or term applies
The definition of assignment elements was retired from USPAP because: - Answer-The
assignment elements listed in the prior definition might be different in an appraisal
review assignment.
The ASB retired the word "misleading" from the DEFINITIONS in USPAP. Why was this
action taken? - Answer-Because its common dictionary definition reflects the way the
term is used in USPAP.
When a word or term is retired from the DEFINITIONS in USPAP, what does it mean? -
Answer-The word or term may still appear in USPAP, and its standard dictionary
definition applies.
An individual who sometimes acts as an appraiser is providing a valuation service in
another capacity. What is this individual's obligation under USPAP? - Answer-They
must not represent themselves as acting in the capacity of an appraiser.
Many individuals, including appraisers, provide valuation services. According to USPAP,
what distinguishes an appraiser from another professional who provides valuation
services? - Answer-The expectation that the individual will perform competently,
independently, impartially, and objectively
An appraiser is valuing a non-residential property. As part of the scope of work, the
appraiser personally views the exterior of the building from the street but does not set
foot on the property or go inside the building. In their appraisal report, may the appraiser
certify that they made a personal inspection of the improvements? - Answer-Yes,
because an exterior-only inspection made by the appraiser is a personal inspection.
An appraiser is valuing a residential property for a mortgage lending transaction. The
client sent the appraiser a detailed report that was prepared by a professional inspector
who was engaged by the client. This report included video clips and high-definition
photographs of every room in the dwelling. The appraiser reviews this material carefully,
develops an opinion of value, and prepares an appraisal report. In the appraisal report,
may the appraiser certify that they made a personal inspection of the subject property? -
Answer-No, because the appraiser did not make a personal inspection as part of the
scope of work for the assignment.
An appraiser had previously made an interior and exterior inspection of a property two
years ago, and has been engaged by a different client to appraise the property again.
The client asks the appraiser not to go to the subject property and instead, use
information from the prior inspection to determine the property's physical characteristics.
