What is one potential consequence if the appraiser fails to maintain objectivity?

Maintaining objectivity is crucial for an appraiser, as it strongly influences the credibility and reliability of the appraisal report. If an appraiser fails to uphold this standard, the report may indeed face legal scrutiny. This is because a lack of objectivity can lead to biased or inaccurate valuations, potentially affecting stakeholders such as lenders, buyers, and sellers.

When appraisals lack objectivity, they may not reflect the true market value of a property, which can lead to disputes or challenges. This situation often results in the appraisal being questioned, prompting a legal review to ensure the appraisal complies with established standards and guidelines. Legal reviews can serve to protect all parties involved by ensuring that appraisals are conducted fairly and honestly.

While other outcomes, like acceptance by lenders or the potential for bonuses, might occur, they are not guaranteed in cases where objectivity is compromised. In fact, a loss of objectivity could directly undermine trust and faith in the appraisal process, making it less likely for the appraisal to be accepted without scrutiny. Similarly, the idea that property values may increase is inconsequential to the appraiser's need for objectivity in protecting the integrity of their work.