Uniform Standards of Professional Appraisal Practice (USPAP)
The nationally recognized ethical and performance standards for the appraisal profession, established by The Appraisal Foundation. USPAP compliance is required for all federally related appraisals and by most state licensing boards.
USPAP sets the minimum standards for appraisal practice in the United States and is updated biennially. It contains definitions, rules (Ethics Rule, Competency Rule, Scope of Work Rule, Jurisdictional Exception Rule), and standards for real property (Standards 1 and 2), personal property (Standards 7 and 8), and business valuation (Standards 9 and 10). Standard 1 governs the appraisal development process, while Standard 2 governs appraisal reporting. All licensed and certified appraisers must complete a 7-hour USPAP update course every two years as part of continuing education.
Related Terms
Competency Rule
A USPAP rule requiring that an appraiser must have the knowledge and experience necessary to complete an assignment competently, or must take steps to acquire it before accepting the assignment..
Scope of Work
The type and extent of research and analysis performed in an appraisal assignment.
USPAP Ethics Rule
The USPAP rule establishing requirements for appraiser conduct, management, confidentiality, and record keeping.
The Appraisal Foundation
The Congressionally authorized organization that sets appraisal standards (USPAP) and minimum appraiser qualification criteria.
More in Legal & Regulatory
View allFIRREA (Financial Institutions Reform, Recovery, and Enforcement Act)
FIRREAThe 1989 federal law that established the modern appraisal regulatory framework, requiring state licensing of appraisers and USPAP compliance for all federally related real estate transactions..
Dodd-Frank Act (Appraisal Provisions)
The 2010 federal financial reform law that included significant appraisal provisions: appraiser independence requirements, AMC registration, customary and reasonable fee mandates, and prohibition of BPOs for origination..
Appraiser Independence
The legal requirement that appraisers must be free from improper influence, coercion, or pressure from parties with a financial interest in the transaction outcome.
De Minimis Threshold
The transaction value below which a federally related real estate transaction does not require an appraisal by a licensed or certified appraiser.