Current through Register Vol. 63, No. 9, September 1, 2024
(1) Appraisals conducted for land sales,
purchases or exchanges shall comply with the following requirements:
(a) Be conducted by a State of
Oregon-licensed appraiser familiar with the type of property to be appraised
and in accordance with the Uniform Standards of Professional Appraisal Practice
(USPAP) standards.
(b) Unless
directed otherwise by the Department, the appraisal shall estimate the fair
market value of the property based on its highest and best use, taking into
account the contributory value of all offered interests in the property such as
water rights, minerals, or timber to the extent that such interests are
consistent with the highest and best use of the property.
(c) The appraisal report must include
sufficient description of the property, highest and best use analysis,
valuation methodology and support materials to fully document and justify the
appraiser's estimate of fair market value.
(d) The Department may, based on the
particular use of the appraisal, impose additional requirements or conditions
on the appraisal.
(2)
For land sales, purchases or exchanges where the estimated fair market value of
the lands or interest in lands is $100,000 or less, the Department may utilize
a "desk appraisal" or a "letter opinion of value" as the Appraisal required
under these rules.
(3) For purposes
of this section, a "desk appraisal" is a written statement setting forth an
opinion as to the market value of the lands or interest in lands as of a
specific date. A desk appraisal conducted for land sales, purchases or
exchanges shall comply with the following requirements:
(a) The desk appraisal must be conducted by
an employee of the Department. A desk appraisal need not be prepared in
accordance with the Uniform Standards of Professional Appraisal Practice
(USPAP), as desk appraisals performed by an employee of the Department are not
required to be performed by State of Oregon-licensed appraiser pursuant to ORS
674.100(2)(h).
(b) Unless directed otherwise by the
Department, the desk appraisal shall estimate the fair market value of the
property based on its highest and best use, taking into account the
contributory value of all offered interests in the property such as water
rights, minerals, or timber to the extent that such interests are consistent
with the highest and best use of the property.
(c) The desk appraisal must include a
sufficient description of the characteristics of the property, a highest and
best use analysis, a description of the valuation methodology, and a
description of the support materials utilized to fully document and justify the
estimate of fair market value. The description of the characteristics of the
property, and description of the characteristics of properties used as
comparison to the property, may be based on aerial and topographic photographs
and maps and on generally accepted property data resources, such as the United
States Department of Agriculture - Natural Resources Conservation Service,
county assessor tax lot information, multiple listing services, and similar
resources. Field inspections of the property and of the properties used as
comparison to the property are not required as part of the desk
appraisal.
(4) For
purposes of this section, a "letter opinion of value" is a written statement
from a real estate professional licensed under ORS 696 setting forth an opinion
as to the market value of the lands prepared in accordance with the
requirements of OAR 863-015-0190(3).
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS
270.005 -
270.190,
273.045,
273.245 -
273.247,
273.251 -
273.311,
273.316 -
273.321,
273.413 -
273.456,
274.040,
274.905 -
274.940,
274.960 -
274.985
Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045,
ORS 270.005 -
270.190,
273.045,
273.245 -
273.247,
273.251 -
273.311,
273.316 -
273.321,
273.413 -
273.456,
274.040,
274.905 -
274.940,
274.960 -
274.985
