Exposure Drafts

Documents posted on this page are for exposure and comment only. They have not yet been approved by the IAAO Executive Board.

Standard on Assessment Valuation Models (AVMs) Download

The entire standard was revised, updated and/or corrected. The original wording of the standard can be accessed at Technical Standards.

The intent and effect of this exposure draft is to provide an updated technical standard.

Send comments by May 31, 2017, to IAAO (posted April 26, 2017)  

Scope

This standard provides guidance for public and private sector mass appraisal activities, private sector single property appraisals, and programs for the review of appraisals, real estate held in portfolio, and mortgage backed securities that depend on Automated Valuation Model (AVM) systems. The standard provides recommendations, guidelines, and best practices for the design, preparation, and interpretation of results when developing and using AVMs for the valuation of real property. AVMs can be used when sufficient economic data exists to permit development of representative and valid statistical samples. The standard’s layout follows the recognized steps used in the development and operation of an AVM. Each section includes descriptions of governing principles. This is followed by rules related to minimum and preferred requirements, as well as best practices. In addition, the appendixes present the methodologies used in developing and implementing various types of AVMs and related topics. As presented in this standard, the development of an AVM conforms to USPAP Standard 6.