Why does the Commercial Appraisal Review Report often contain two parts?

The Commercial Appraisal Review Report is designed to address two key aspects of an appraisal review assignment: the analysis of the appraisal itself and the evaluation of the appraisal process. The first part typically includes a thorough examination of the appraisal's content, such as the methodology, assumptions, and conclusions drawn by the original appraiser. The second part focuses on the adherence to standards and guidelines, ensuring the appraisal meets industry requirements and addresses any potential issues.

This dual structure is critical because it ensures that both the quality of the appraised value and the integrity of the appraisal process are reviewed comprehensively. It helps reviewers to identify any discrepancies, miscalculations, or compliance issues effectively, ultimately leading to a more reliable conclusion regarding the appraisal's validity.

By clearly separating these two aspects, the report enhances clarity and provides a systematic approach to the review, making it easier for stakeholders to understand and evaluate the appraisal's soundness.