Licensed appraisers must adhere to what standards in federally related transactions over a specific value?

Licensed appraisers are required to comply with the Uniform Standards of Professional Appraisal Practice (USPAP) when conducting appraisals for federally related transactions that exceed a specific value. This requirement is established to ensure that appraisals are carried out in a consistent and ethical manner, maintaining the integrity of the valuation process.

The specific threshold that triggers the need for adherence to these standards is set at $250,000. Therefore, appraisals conducted for properties valued at $250,000 or more must follow USPAP guidelines. This requirement safeguards all parties involved in the transaction, including lenders, buyers, and sellers, by promoting reliability and professionalism in the appraisal process.

The other values listed—$100,000, $150,000, and $200,000—do not meet the regulatory threshold for federally related transactions, meaning that appraisals under these amounts are not required to adhere to the stricter USPAP standards, although they may still be performed in accordance with other industry practices or standards.