By: Mark S. Whitsitt, SRA | Certified Residential Real Estate Appraiser (License #556004823), Chief Marketing Officer & Residential Supervisor, Whitsitt & Associates
A USPAP-compliant appraisal follows the Uniform Standards of Professional Appraisal Practice — the national ethical and performance standards published by the Appraisal Foundation’s Appraisal Standards Board, currently in the 2024 edition.
A compliant appraiser discloses the scope of work, maintains independence from the transaction, supports the value conclusion with documented market evidence, and produces a report reviewable by a lender, court, or regulatory body.
Without USPAP compliance, a lender will not accept the report, an attorney cannot rely on it in litigation, and an Illinois court may disregard it entirely.
Every high-stakes property decision rests on whether the underlying appraisal holds up. See appraisal services from Whitsitt & Associates — USPAP-compliant reports backed by 40+ years of Central Illinois market data.
USPAP, the Uniform Standards of Professional Appraisal Practice, is the national standard for real estate appraisal published by the Appraisal Foundation through its Appraisal Standards Board (ASB). The current edition, USPAP 2024, took effect January 1, 2024, and remains the governing standard for all real estate appraisal assignments in the United States.
The Appraisal Foundation created USPAP in response to the Savings and Loan Crisis of the mid-1980s, when a collapse in appraisal credibility contributed to widespread financial fraud.
Congress embedded USPAP compliance into federal law through the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), which requires USPAP-compliant appraisals for all federally related real estate transactions.
Illinois law under 225 ILCS 458 independently requires every IDFPR-certified appraiser to comply with USPAP on all assignments.
USPAP sets out the following rules every compliant appraiser must follow on every assignment, regardless of property type or assignment purpose.
The Ethics Rule requires the appraiser to act with integrity, impartiality, and objectivity, and to maintain independence from the transaction. An appraiser who accepts a fee contingent on a predetermined value conclusion violates the Ethics Rule. A report produced under those conditions is non-compliant regardless of its other content.
The Competency Rule requires the appraiser to hold the knowledge and experience necessary for the specific assignment before accepting it. An appraiser accepting a commercial assignment without the Certified General credential under 225 ILCS 458, or accepting a rural agricultural assignment without local comparable sales experience, violates the Competency Rule.
The Scope of Work Rule requires the appraiser to identify the problem, determine the appropriate scope of research and analysis, and disclose that scope in the report. A report that omits the scope-of-work disclosure or understates the research performed is non-compliant and indefensible under review.
Standards Rules 1 and 2, published by the Appraisal Foundation, govern the development and reporting of a real property appraisal. Standards Rule 1 requires the appraiser to analyze the market, select appropriate comparable sales, and apply recognized valuation approaches.
Standards Rule 2 requires the appraiser to communicate analysis, opinions, and conclusions in a manner that is not misleading and that enables the intended user to understand the basis for the value conclusion.
| USPAP Rule | What It Requires |
| Ethics Rule | Independence, impartiality, objectivity — no contingent fees |
| Competency Rule | Knowledge and experience matched to the specific assignment |
| Scope of Work Rule | Problem identified, research scope disclosed in the report |
| Standards Rules 1 & 2 | Defensible development and non-misleading reporting of the value conclusion |
A report that fails any one of these rules is non-compliant — and a non-compliant report is not an appraisal a lender, court, or the IRS will accept. Contact Whitsitt & Associates at (217) 356-7605 for USPAP-compliant appraisals in Central Illinois.
USPAP compliance is the threshold requirement for every high-stakes appraisal use. The consequence of a non-compliant report is not a minor procedural problem. A non-compliant report means a rejected transaction, a delayed estate settlement, or an unusable court exhibit.
Mortgage lending: Fannie Mae, Freddie Mac, the VA, and FHA all require USPAP-compliant appraisals for loan approval. A non-compliant report triggers an underwriting rejection and requires a replacement appraisal before the loan can proceed.
Divorce proceedings: Illinois courts require an independent, USPAP-compliant appraisal to establish fair market value for equitable distribution under 750 ILCS 5/503. A divorce appraisal in Illinois that cannot survive opposing counsel’s review wastes time and money for both parties.
Estate and probate: The IRS requires a qualified appraisal under Treasury Regulation 1.170A-17 to support estate tax filings and charitable contribution deductions. A non-USPAP-compliant appraisal does not meet the IRS qualified appraisal definition and exposes the estate to penalties. Retrospective appraisals for Illinois probate must meet the same USPAP standards as current-date assignments.
Tax appeals: Property owners filing a tax appeal with the Champaign County Board of Review or the Illinois Property Tax Appeal Board (PTAB) need an appraisal that documents independent market value. A non-compliant report gives the board no objective basis for adjustment.
What does USPAP-compliant mean in plain language?
A USPAP-compliant appraisal follows the Uniform Standards of Professional Appraisal Practice, 2024 edition. The appraiser acted independently, disclosed the scope of work, supported the value conclusion with market evidence, and reported findings in a non-misleading way acceptable to lenders, courts, and the IRS.
Who publishes USPAP, and how often is it updated?
The Appraisal Foundation publishes USPAP through its Appraisal Standards Board. USPAP 2024 took effect January 1, 2024. Illinois appraisers complete the 7-hour National USPAP Continuing Education Course every 2 years under IDFPR renewal requirements effective January 1, 2026.
Is USPAP compliance required by law in Illinois?
Yes. Illinois law, 225 ILCS 458, requires every IDFPR-certified appraiser to comply with USPAP on all assignments. Federal law under FIRREA independently requires USPAP-compliant appraisals for all federally related real estate transactions, including mortgage lending.
What happens if an appraisal is not USPAP-compliant?
A non-compliant appraisal is rejected by lenders for mortgage transactions, unusable in Illinois divorce and estate court proceedings, and unacceptable to the IRS for estate tax and charitable contribution purposes. The property owner must commission a replacement appraisal, incurring a second fee and restarting the timeline.
Does USPAP compliance guarantee an accurate value conclusion?
USPAP compliance establishes that the appraiser followed the required standards of development and reporting. Compliance does not guarantee any specific value outcome. Accuracy depends on the appraiser’s local market knowledge, comparable sales selection, and analytical judgment within the compliant framework.
How do I know if an appraiser’s reports are USPAP-compliant?
Verify the appraiser holds an active IDFPR certification at idfpr.illinois.gov — all IDFPR-certified appraisers are required to comply with USPAP. Ask directly whether the firm’s reports have been accepted by your specific lender, attorney, or court context before scheduling.
Does Whitsitt & Associates produce USPAP-compliant reports?
The firm has delivered USPAP-compliant residential, commercial, and complex property appraisals across Champaign, Urbana, Savoy, and Central Illinois since 1983. Reports are accepted by Illinois lenders, courts, attorneys, and the IRS across lending, estate, divorce, and tax appeal assignments.
Can a USPAP-compliant appraisal be challenged in court?
A USPAP-compliant appraisal can be challenged. Compliance sets the floor for admissibility, not immunity from scrutiny. An appraiser with active local market experience and well-supported comparable sales produces a report that survives challenge far more reliably than one meeting only the minimum compliance threshold.
USPAP compliance is not optional — and neither is local expertise. Request an appraisal from Whitsitt & Associates at (217) 356-7605 — USPAP-compliant appraisals in Champaign, Urbana, Savoy, and Central Illinois since 1983.
Mark S. Whitsitt, SRA, serves as Chief Marketing Officer and Residential Supervisor at Whitsitt & Associates. With extensive experience in residential real estate valuation and appraisal management, he oversees the firm's residential appraisal operations while leading business development and client relations initiatives.
As a designated Senior Residential Appraiser (SRA), Mark specializes in residential property valuations, market analysis, and appraisal review services. He works closely with homeowners, attorneys, lenders, and other professionals to ensure accurate, well-supported appraisal reports that meet industry standards and client needs.
In his leadership role, Mark helps guide the continued growth of Whitsitt & Associates, maintaining the firm's reputation for professionalism, reliability, and exceptional service throughout Illinois and surrounding markets.
Start Your Appraisal
Thank you for choosing us for your real estate appraisal needs. Our team will review your submission and contact you shortly.
