A review appraiser looks over documentation associated with an appraisal to confirm its accuracy. This can be required as part of the procedure to originate a loan or insurance policy on a real property, where the issuing institution wants to confirm the property’s value. Government agencies may also have a mandatory review process before making purchases or providing compensation in the interest of consistency and fairness. Usually, several years of experience in real estate appraisal is required for jobs in this field, along with a valid license to work as an appraiser, if this is required by regional authorities.
When a property is referred for review, any documentation generated during the original appraisal can be submitted. The review appraiser looks at the report prepared by a professional appraiser, along with other documents and information associated with the property. These can include statements from contractors and pest control specialists, information on historic properties, and other pertinent information. Some properties may merit a site visit, allowing the appraiser to inspect the property in person to verify statements and claims, take photographs, and personally generate documentation.
In the course of the review, the appraiser may review comparable properties and look at valuations generated by standardized software. All of this information can be pulled together to determine if the original valuation was reasonable. It should be consistent with standards and practices developed by professional organizations and should also follow internal guidelines. The review appraiser may flag properties that were valued incorrectly or inconsistently for further investigation to determine the origins of a mistake.
Reviews may reveal that a property is reasonably valued, given standards and practices, current market conditions, and what is known about it. The review appraiser can recommend proceeding with action, such as generating a property insurance policy, on the basis of the original value estimate. If there’s a problem with the original appraisal, documentation can provide information about the specific nature of the issue and the recommended adjusted value. For example, a site inspection might reveal that a home valued as having two bedrooms really only has one.
Five to seven years of experience may be required to become a review appraiser. It can also help to belong to a professional organization of appraisal professionals, as this indicates an interest in following current standards and practices in the industry. Subscribing to trade publications and attending conferences can help appraisers keep up with developments that might be relevant to valuing real estate accurately and impartially.
