Advisory Opinion 41, Use of Technology in an Appraisal or Appraisal Review Assignment, was adopted by the Appraisal Standards Board on April 23, 2026. It does not add new rules. It shows how USPAP's existing rules apply when an appraiser uses technology, from spreadsheets to generative AI. The short version: you decide whether to use a tool and whether to rely on what it produces, and you are responsible for the results either way.
What is AO-41?
Guidance from the Appraisal Standards Board (ASB), the body that writes USPAP. It covers the full range of tools appraisers use, including spreadsheets, regression and statistical software, automated valuation models, machine learning and generative AI. It applies the Ethics Rule, the Competency Rule, the Scope of Work Rule and the Record Keeping Rule to them. It applies to all appraisal disciplines.
Who is responsible for what the tool produces?
You are. In the ASB's words, "A tool cannot comply with USPAP." Compliance is the appraiser's alone. The decision to use a tool, to rely on its output, and whether that output supports credible assignment results rests with the appraiser in every assignment.
Using a tool does not oblige you to rely on it. Credible results need support from relevant evidence and logic, not from the tool by itself, and you decide whether its output is accurate, relevant and appropriate for the assignment.
Do I need to understand how the tool works?
You need enough knowledge and experience to use it competently and to recognize when its output is appropriate to use. AO-41 says you do not have to reverse engineer a tool's internal workings unless the assignment calls for it. Using a tool in developing an assignment without understanding its capabilities and limits may violate the Competency Rule.
Do I have to disclose that I used AI?
Not simply because you used it. USPAP does not require naming a tool for its own sake. The obligation arises when leaving the tool out would keep the report from being clear, accurate and not misleading, or would keep intended users from understanding the work performed. When disclosure is needed, it is your analysis and reasoning that gets described, not the brand of software.
Can I put client information into an AI tool?
Only after you confirm that doing so does not violate the Ethics Rule. You must take reasonable steps to keep confidential information and assignment results from improper disclosure. If you cannot safeguard them from unauthorized access, they must not be entered into the tool. Protecting confidentiality always remains the appraiser's responsibility.
What goes in the workfile?
It depends on the role the tool played:
- Relied upon: the workfile must include enough to show how the output was used in forming your opinions and conclusions. That may include the tool's output, the data and the prompts or instructions you gave it, and any analysis you applied to what came back.
- Reviewed but not relied upon: enough to show your scope of work was reasonable and your conclusions are supported, which may include a short note on why you did not use the output.
Questions appraisers ask
Does AO-41 create new USPAP rules?
No. It does not establish new standards or interpret existing ones. It shows how the Ethics, Competency, Scope of Work and Record Keeping rules already apply when a tool is used.
Do I have to say in my report that I used AI?
Not simply because you used it. USPAP requires disclosure when leaving the tool out would make the report misleading or keep intended users from understanding the work performed.
Can I put client information into an AI tool?
Only after confirming that doing so does not violate the Ethics Rule. If you cannot take reasonable steps to keep confidential information and assignment results safe from unauthorized access, it must not go into the tool.
What goes in my workfile when I use an AI tool?
If you relied on the tool's output, enough to show how you used it, which may include the output, the data and prompts you gave the tool, and your analysis of what came back.
Sources
- The Appraisal Foundation, Appraisal Standards Board, Advisory Opinion 41, Use of Technology in an Appraisal or Appraisal Review Assignment (April 23, 2026), sections on the appraiser's responsibility, disclosure, confidential information and record keeping, on The Appraisal Foundation's website
- The Appraisal Foundation, Uniform Standards of Professional Appraisal Practice (USPAP), Ethics, Competency, Scope of Work and Record Keeping Rules, on The Appraisal Foundation's website