William M. Novotny, ISA AM
Personal Property Appraiser
What Makes an Appraisal Worthy of Belief?
USPAP!
The Uniform Standards of Professional Appraisal Practice (USPAP) establish minimum requirements for appraisers that apply to each personal property appraisal performed by the appraiser. By complying with USPAP appraisers can demonstrate that their personal property valuation opinions are worthy of belief.
This website demonstrates, in its various parts, the importance of the role between the client and the appraiser and what the client should expect of the appraiser. An appraisal is an objective, impartial, properly developed and reported opinion of value completed by a competent, ethical and qualified appraiser. It requires an understanding of the client's appraisal problem, an identification of the relevant characterisics the subject objects, and an analysis of equivalent objects that were offered or sold in the relevant marketplace. A formally written appraisal report is a signed document that must be meaningful, credible and relevant intended use.
Appraisers Must Identify the Appraisal Problem
The client's personal property appraisal problem must be properly understood. Each important element that identifies the appraisal problem must be identified such as intended use, intended user, effective date, the type and definition of value, the relevant property characteristics and assignment conditions etc. Only then can the appraiser determine their competency to complete the assignment credibly, and determine the scope of work necessary to develop a credible valuation.
No one benefits from too much or too little research and analysis—too little causes unreliable opinions, while too much wastes time and incurs needless expense. The personal property appraiser must do the type and amount of work necessary to develop the answer to the personal property appraisal problem posed by a client. The personal property appraiser must properly understand the personal property appraisal problem to accomplish this.
Appraisers Must be Competent
The appraiser must be familiar with the personal property type, relevant markets, geographic factors and the necessary analytical methods.
Novotny has thirty years of full-time, market based experience and background with most types of personal property objects. Personal property objects include a truly large universe of objects.
Some objects require the knowledge and experience of a specialist. Novotny has a network of qualified specialists willing to share their valuable knowledge. Consultation is sometimes necessary and is cost effective (frequently free). Appraisal consultation provides evidence of diligent fact gathering which supports the appraisers opinions, analysis and conclusions.
Appraisers Must be Ethical
The appraiser must always remain independent, objective, impartial and unbiased. The failure to do would undermine the credibility and reliability of the appraisal report. An appraiser must not advocate for a client or intended user.
Appraisers Must Properly Develop and Report their Opinions, Analyses and Conclusions
Compliance with STANDARD 7 of USPAP will provide a basis for client reliance that the appraisers opinions, analyses and conclusions are credible, adequate, complete and relevant to intended use. Compliance with STANDARD 8 of USPAP will provide a basis for client reliance that the report is sufficient, meaningful, not misleading and properly communicates the appraisers assignment results.
USPAP Not an Afterthought
Before finishing up an assignment an appraiser must ask him or herself:
Whenever an appraiser accepts and completes a personal property appraisal assignment the answer to these questions should always be "YES!"
USPAP Appraisal Review
The work product of another appraiser is the subject of an appraisal review assignment. The appraiser is asked to evaluate the quality of another appraiser's work. The review appraiser must be competent to employ the method and techniques necessary to evaluate whether the work of another appraiser is complete, adequate, relevant to intended use and compliant with applicable standards. In addition the review appraiser may be required to also provide an opinion of value (an appraisal) regarding some of all of the properties that were the subject of the work under review.
Novotny will take care to properly identify the assignment problem and applicable standards. He will determine (and execute) the necessary scope of work. His appraisal report will address the requirements of your intended use and will meet the needs of intended users. He will properly identify and answer the valuation questions that you pose. He will be diligent, but not do more than necessary to establish a credible basis.
Contact Novotny now to have your valuation or appraisal review problem solved.
To find out more about the types of personal property appraised visit PROPERTY TYPES. See Novotny's CV and qualifications.
The Uniform Standards of Professional Appraisal Practice (USPAP)
In 2002 Mr. Novotny was certified (#10138) as an AQB Certified USPAP Instructor of the Uniform Standards of Professional Appraisal Practice (USPAP) by the Appraiser Qualification Board (AQB) of the Appraisal Foundation. He was the first personal property appraiser to attain this certification. He has remained current with his AQB Certification by recertifying for each new USPAP publication cycle including 2010 - 2011.
He has taught USPAP courses yearly since 1998 including for ASA regional Chapters, the International Society of Appraisers, (ISA), the Appraisers National Association, (ANA) and the College For Appraisers. He has presented USPAP classes in Los Angeles, San Diego, Sacramento, Dallas, Baltimore and Chicago.
The Appraisal Foundation was authorized by Congress to be the source of appraisal standards and appraiser qualifications. USPAP is widely recognized by regulators, government agencies, the courts, the insurance and banking industry, appraisers and typical users of appraisal services as the basic standard for appraisals.
