If an appraiser uses an extraordinary assumption, what must they ensure?

When an appraiser uses an extraordinary assumption, they should be mindful of the user's interpretations. This means recognizing that extraordinary assumptions can affect the credibility and reliability of the appraisal results. Since extraordinary assumptions imply acknowledging a fact or condition that is uncertain or not verified, the appraiser must be clear and careful about how this assumption could influence the interpretation of the report by users.

Ensuring that users understand the assumption and its potential impacts is critical for maintaining transparency and aiding in informed decision-making. It helps users grasp the context and limitations associated with the appraisal, which can ultimately influence their understanding and reliance on the appraisal.

Other choices do not align with the primary responsibilities of the appraiser in this scenario. For example, while labeling is important in appraisal reports, it is not the primary concern when making assumptions. Similarly, while appraisers should not arbitrarily backtrack on assumptions, the focus in this context is more about the implications for the users of the report rather than strict adherence to assumptions. Lastly, notifying local authorities is unrelated to standard appraisal practices associated with extraordinary assumptions.