Which step involves determining data requirements and sources?

Which step involves determining data requirements and sources?

• A. Outline the Appraisal Report
• B. Plan the work schedule
• C. Determine data requirements and sources
• D. Preliminary estimate of highest and best use

Answer: (C)

Determining data requirements and sources focuses on planning what information is needed to support the appraisal and where to find it. At the start, the appraiser identifies the types of data that will inform the value—such as subject property details, sales comparisons, market trends, and any relevant income or legal data—and then pins down where those data can be obtained (public records, MLS/recent sales databases, market reports, site inspections, etc.). This step sets the direction for data collection, ensuring the information gathered is relevant and sufficient to support the final opinion. The other activities serve different purposes: outlining the Appraisal Report is about how the findings will be presented, planning the work schedule is about timing and resources, and the preliminary estimate of highest and best use is an analytic step within the valuation framework, not the data-planning phase.

Determining data requirements and sources focuses on planning what information is needed to support the appraisal and where to find it. At the start, the appraiser identifies the types of data that will inform the value—such as subject property details, sales comparisons, market trends, and any relevant income or legal data—and then pins down where those data can be obtained (public records, MLS/recent sales databases, market reports, site inspections, etc.). This step sets the direction for data collection, ensuring the information gathered is relevant and sufficient to support the final opinion.

The other activities serve different purposes: outlining the Appraisal Report is about how the findings will be presented, planning the work schedule is about timing and resources, and the preliminary estimate of highest and best use is an analytic step within the valuation framework, not the data-planning phase.