EthicsQuestion 288 of 400
A loan officer pressures an appraiser to 'hit' a value $40,000 higher than comparable sales support, so the loan will close. This is best described as:
a.A permissible reconsideration of value
b.Appraisal fraud / undue influence on the appraiser
c.Occupancy fraud
d.A legitimate quality-control review
Explanation
Coercing or pressuring an appraiser to reach a predetermined value undermines an independent valuation and is appraisal fraud, prohibited under appraiser-independence rules. A permissible reconsideration presents new comparable data without dictating a target, and neither occupancy fraud nor a routine QC review involves pressuring the value.
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