A key factor in determining the effective date of appraisal is?

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The effective date of an appraisal is crucial because it indicates the specific point in time at which the appraiser's opinion of the property's value is applicable. Selecting the date of inspection as the key factor is appropriate because this is the moment when the appraiser assesses the property and gathers the necessary data to form their valuation opinion.

The appraisal process is inherently tied to the condition and value of the property at the time of inspection; thus, that date reflects the property's current state, including any recent changes or market conditions.

While the completion date of the report or the date specified by the lender are important to the overall timeline of the appraisal process, they do not dictate the actual appraisal value in the same way that the date of inspection does. Similarly, the date the property was purchased may not be relevant to current valuation, as property value can change significantly over time. Therefore, the inspection date serves as a critical reference point for the appraised value.

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