Is identifying the intended use of an appraiser's opinions necessary in most appraisal assignments?

The intended use of an appraiser's opinions is a critical component in the appraisal process because it shapes how the appraisal is conducted and the conclusions that are drawn. However, in most appraisal assignments, identifying this intended use is not always explicitly necessary as part of the assignment's requirements. It is often assumed that appraisers will align their work with a standard set of guidelines unless noted otherwise.

In simpler assignments, generic intended use might not impact the outcome significantly, meaning that while it is beneficial to understand who will use the appraisal and for what purpose, it is not always a formal requirement. Many appraisers may proceed without extensively detailing intended use if no specific client requirement calls for such clarity.

Understanding the intended use typically becomes more critical in complex situations, where various stakeholders may have different needs that could influence the approach to the appraisal. As a result, identifying the intended use is essential in ensuring the appraisal is fit for its purpose, but it is not universally required in all assignments, which justifies the reasoning for the selection of "no, it is not necessary."