If a borrower receives a copy of an appraisal due to disclosure requirements, what does this imply?

When a borrower receives a copy of an appraisal due to disclosure requirements, it implies that the borrower is not necessarily considered an intended user of the appraisal. The distinction is important within the context of the Uniform Standards of Professional Appraisal Practice (USPAP). Intended users are those individuals who the appraiser anticipates will rely on the appraisal for a specific purpose, which typically includes lenders and others involved in the transaction, but not always the borrower themselves.

In this case, the disclosure is a legal requirement, not an acknowledgment of the borrower’s intended use of the appraisal. While it allows the borrower to view the appraisal, it does not confer the status of intended user upon them. Therefore, it does not imply that the borrower holds the rights or responsibilities typically associated with intended users, such as the authority to make decisions based on the appraisal or to challenge its findings based on professional insight. The status of intended user depends on the relationship established in the appraisal report and the expectations set by the appraiser at the outset.