What is the essential definition of "competency" in the context of appraisal practice?

The essential definition of "competency" in the context of appraisal practice is that it is crucial to the definition of "appraiser." Competency encompasses the skills, knowledge, and experience an appraiser must possess to perform their duties effectively and ethically. This includes not only geographical knowledge, which can be a component of competency but is not the complete picture. Competency is broader and involves understanding relevant laws, market conditions, and the methodologies of appraisal.

While technical skills are certainly important, competency also involves a deep understanding of the appraisal process and the ability to communicate findings clearly. Licensing requirements relate to legalities and regulatory compliance but do not fully encompass the range of competencies required to provide credible results in appraisal work. Therefore, understanding that competency is integral to defining what it means to be an appraiser is essential for professional practice in the field. This foundational concept ensures that appraisers can meet the standards of their profession and deliver trustworthy appraisals.