Certified Relocation Professional (CRP) Practice Exam

What is the suitable outcome of multiple appraisals coming in with differing values?

1. Always the highest appraisal value should be used

2. The average of all appraisals should be taken

3. A decision must be made without further appraisal

4. A third appraisal is often ordered for clarification

The correct answer is: A third appraisal is often ordered for clarification

When faced with multiple appraisals that yield differing values, the most appropriate action is often to seek further clarification, which can be achieved through the ordering of a third appraisal. This approach allows for a more comprehensive understanding of the property's value and ensures that the decision is based on a more accurate assessment. The existing appraisals may diverge due to various factors, such as differing methods of evaluation, varying assumptions about the property, or market conditions at the time of appraisal. By obtaining a third appraisal, stakeholders can gather additional insights that may help reconcile the differences among the initial appraisals, ultimately leading to a more informed and fair outcome. Considering this context, the option of ordering a third appraisal is vital, as it emphasizes the importance of accuracy and reliability in valuing a property, particularly in transactions that can have significant financial implications.