Does an appraisal that includes the revised scope of work, statements of assumptions and limiting conditions, and appraiser’s certifications provided in LL-2020-04 also need an extraordinary assumption to address when information was provided by a party that may have a financial interest in the transaction?
No. As stated in LL-2020-04, the appraiser’s certification #10 was removed recognizing that the appraiser may have to rely on information from an interested party to the transaction (borrower, real estate agent, property contact, etc.) and additional verification may not be possible. The removal of this certification acknowledges this could affect the assignment’s results. If adequate information is not available to complete the appraisal, the assignment cannot be completed.
For more information, refer to the published Lender Letter LL-2020-04, Impact of COVID-19 on Appraisals.