Which of the following may be considered an appraisal red flag?

A situation where the property owner and the property seller are not the same can indicate potential issues in an appraisal context. This scenario might raise concerns about the motivations behind the sale, potential conflicts of interest, or the true market value of the property. When the seller is not the owner, it can suggest that the seller may not have a vested interest in the property beyond a financial transaction, possibly leading to inflated valuations or misrepresentations about the property’s condition.

This particular flag is significant because it could hint at underlying issues such as a distressed sale, potential title problems, or a need for further due diligence to ensure that the terms of the sale are fair and transparent. In contrast, options that emphasize the appraiser’s experience, the date of the appraisal related to the contract, or the proximity of comparables highlight aspects that are generally considered acceptable practices in appraisals, thus not raising immediate red flags.