Sep 28, 2020 - 06:56 AM
The question can be answered by understanding what is being done when you mark the box "Has the subject's market value declined since the original appraisal date". For this, we can look to FAS 308 in the 2020-2021 USPAP Publication:
Question: (1.) Does this constitute a new appraisal of the property? Response: Yes; this is a new appraisal with a new effective date. Additional guidance can be found in Advisory Opinion 3, Update of a Prior Appraisal.
Question: (2.) How much of my analysis must I include in the report? Response: The analysis will vary from assignment to assignment, so the information required in the report will also vary. In some cases, it might be possible to summarize the analysis using the three lines provided on the form itself. If the space provided is insufficient, then the appraiser must supplement the form.
As with any written appraisal report, the appraiser is also required to include a signed certification. For Fannie Mae Form 1004D, which would be used for a real property appraisal assignment, the signed certification must be similar in content to that required in Standards Rule 2-3(a). If the certification included on the form does not cover all of the elements required in Standards Rule 2-3(a), then in accordance with Standards Rule 2-3(d), the appraisal report must contain a supplemental certification, which includes the remaining required certification elements.