Under USPAP, what must an appraiser do when developing a sales comparison approach?

When developing a sales comparison approach under USPAP (Uniform Standards of Professional Appraisal Practice), an appraiser must analyze available data to reach a value conclusion. This is a critical step in ensuring that the appraisal is based on current and pertinent information regarding similar properties that have recently sold. An appraiser evaluates factors such as locations, property characteristics, sale prices, and market conditions to appropriately compare and adjust the sales of comparable properties to derive a value for the subject property.

This comprehensive analysis is essential in supporting the final opinion of value and ensures adherence to professional standards. Focusing on just sales data from the past year, disregarding local market trends, or solely relying on economic indicators does not encompass the thorough examination required for a sound appraisal, thus highlighting the importance of analyzing all relevant data for an accurate and credible result.