Monday, February 27, 2012

Court of Appeals says both Federal & State can Regulate Appraisal Practices

In People ex rel Cuomo v. First American Corp, the Court of Appeals denies the argument that NY can't regulate appraisals and instead says, while ruling on alleged fraud and violation of real estate appraisal independence rules concerning the issuance of mortgages, that both Federal and State authorities may ensure that real estate appraisal reports comport with the Uniform Standards of Professional Appraisal Practice (USPAP).

The implication of this ruling is that appraisers should be mindful of increasing oversight by both Federal and State authorities. More so, Appraisers should be knowledgeable of the USPAP and continually review its interpretations and amendments. To review the USPAP, click here.