Which statement best describes the limitations of an appraiser's report?

The statement that the report reflects the market value as of the inspection date best describes one of the core principles of an appraiser's report. Appraisals are typically intended to provide an opinion of a property's value based on the conditions and data available at a specific moment in time, known as the effective date. This establishes a clear reference point regarding the value that was determined.

While it is important to recognize that market conditions can change over time, the appraisal report captures the value based on an analysis of comparable sales, market trends, property characteristics, and other relevant factors up to the inspection date. As such, it informs stakeholders—such as lenders, buyers, and sellers—of the property's value within that context, but not necessarily how that value may fluctuate in the future.

In contrast, the other options revolve around different facets of the appraisal process. For example, while reports can be modified or adjusted and may sometimes be repurposed for various needs, these aspects do not encapsulate the fundamental nature of what the appraisal provides regarding valuation at a specific point in time. Additionally, appraisals are not guarantees of sale price but rather reflect a professional opinion that is subject to market dynamics.