An engagement letter from a Claremont appraiser should state, in writing and before any work begins, who the client is and who else may rely on the report, what the report will be used for, the property and the date the value applies to, the scope of work, the report's form, the fee and the delivery date. It should also say whether a declaration or testimony may be needed. It should never contain a target value, a requested minimum, or a fee that moves with the result.
An engagement letter is the written agreement that sets the terms of an appraisal assignment. California's Bureau of Real Estate Appraisers (BREA) tells appraisers to "use written engagement documents that include all terms," naming the delivery date, fees, clearly defined assignment conditions and the subject property address. Those terms are the floor.
Why does the letter matter so much?
Because the report will be judged against it. If a CPA, a family law attorney, a mediator or an assessment appeals board later asks why the report says what it says, the engagement is where the assignment was defined. It is also part of the record a regulator can see: Business and Professions Code section 11328 lets BREA request "copies of the engagement letters, appraisals, or any work product" addressed by the Uniform Standards of Professional Appraisal Practice (USPAP), the national appraisal standards, and keeps that material confidential. On lender work, section 11345.3 requires an appraisal management company (AMC), a firm that manages appraisal orders for lenders, to engage appraisers "with an engagement letter that shall include terms of payment." On a direct assignment, the letter runs between the appraiser and the client.
What the letter should state, item by item
ItemWhat it saysWhy a reader cares
Client
The party who engages the appraiser
The client receives the report; paying does not buy a direction
Intended users
The people entitled to rely on the report
A spouse, an attorney or a CPA not named here is not a user
Intended use
What the report will be used for
An estate filing, a divorce, a tax appeal or a private decision each shape the work
Property
The address, and what is included: a rear unit, an ADU, an extra lot
The value applies only to what was defined
Effective date
The date the opinion of value applies to
A date of death, a date of separation or the January 1 lien date
Scope of work
The type and extent of research and analysis, including the inspection
Interior and exterior, or limits on access, stated up front
Assumptions
Any extraordinary assumption or hypothetical condition known at the start
Either can change the result if it does not hold
Report and delivery
The report's form, how it is delivered and when
Typically three to five business days from the inspection
Fee
The fee, set by the scope of the assignment and quoted before work begins
It does not depend on the value
Later work
Whether a declaration, deposition or testimony may be needed
Settled now, so the scope and timing account for it
The parties: client and intended users
The client is the party who engages the appraiser, and the intended users are the people entitled to rely on the report. They are often not the same. An heir may order a date-of-death appraisal that the estate's CPA and attorney will read; in a divorce, a joint engagement names both spouses or both attorneys so one report serves both. Someone not named is not entitled to rely on the report just by holding a copy. Who a Claremont appraiser works for explains the roles in depth.
The purpose and the date
The intended use and the effective date travel together. An estate report is usually a retrospective appraisal, an appraisal whose effective date is in the past; a divorce may need a current value and a date of separation; a tax appeal usually uses the January 1 lien date. A wrong date in the letter means the report answers the wrong question, so confirm it with the CPA or attorney, who decides how the value is used.
The property and the scope of work
In Claremont the property line in the letter is rarely just an address. A Village bungalow may have a rear unit; a postwar tract house may have a garage converted decades ago; a Claraboya or Padua Hills lot may include a slope or a second parcel. The letter should say what is being appraised and what is not.
The scope of work, the type and extent of research and analysis, says whether the interior will be inspected, who provides access, and what records will be checked, such as permits for an addition or an ADU. If the start of the work already depends on a fact nobody can confirm, the letter names it as an extraordinary assumption, an assumption about uncertain facts that, if false, could change the result. If the report must value the house as if something were different, for example as if a planned repair were finished, that is a hypothetical condition, a condition assumed for the analysis that is known to be contrary to fact. Both belong in the letter so no reader is surprised by them in the report.
Fee, delivery and what the fee never depends on
Business and Professions Code section 11323 says no licensee "shall engage in any appraisal activity if his or her compensation is dependent on or affected by the value conclusion generated by the appraisal." The fee in the letter is therefore set by the scope of the assignment, quoted before work begins, and does not depend on the value or on whether a sale, a settlement or an appeal goes a particular way. Delivery is stated as a date or a window; here it is typically three to five business days from the inspection.
Testimony, declarations and later work
Estate, divorce and litigation matters sometimes need more than the report: a declaration, a deposition or testimony. The letter should say whether that work is anticipated and that it is scoped and quoted separately, so the timeline accounts for it. Whether the court admits the report or the testimony is not something any letter can settle; admissibility is always the court's decision.
What should never be in the letter?
- A value, a range, or a figure the client hopes to see.
- A fee that rises or falls with the result, or is paid only if a deal closes.
- Language promising that a court, a lender or a board will accept the report.
- Any wording that makes the appraiser an advocate for one party.
California Civil Code section 1090.5 treats giving an appraiser an anticipated or desired valuation, or tying hiring or pay to the expected result, as improper influence of a valuation. Red flags when hiring an appraiser covers what to watch for before the letter is even drafted, and choosing an appraiser for an estate, divorce or tax appeal shows how the letter changes by purpose. The pillar, how to check a Claremont appraiser, and the Choosing an Appraiser in Claremont hub hold the rest of the series.
Next step
Every report here is prepared and signed by Gordon Hall, California Certified Residential Real Estate Appraiser, BREA No. AR003877, working Los Angeles and San Bernardino counties; the about page explains how assignments are accepted, and the Claremont area page describes the pockets the reports cover. To settle the client, the intended users, the effective date and the scope in writing before any work begins, request an appraisal or call (909) 324-6122.
Sources
- California Bureau of Real Estate Appraisers, Enforcement Frequently Asked Questions: https://www.brea.ca.gov/html/EnforcementFAQs.html (accessed November 6, 2026)
- California Bureau of Real Estate Appraisers, Real Estate Appraisers' Licensing and Certification Law, Business and Professions Code sections 11300-11425 (as of January 1, 2026): https://www.brea.ca.gov/pdf/bp_codes.pdf (accessed November 6, 2026)
- California Civil Code section 1090.5 (improper influence of a valuation), read on california.public.law: https://california.public.law/codes/civil_code_section_1090.5 (accessed November 6, 2026)
- California Bureau of Real Estate Appraisers, license record for Gordon Hall (BREA No. AR003877): https://www2.brea.ca.gov/breasearch/faces/party/view.xhtml?id=23601 (accessed November 6, 2026)
Gordon Hall, California Certified Residential Real Estate Appraiser, BREA No. AR003877 (lookup: https://www2.brea.ca.gov/breasearch/faces/party/view.xhtml?id=23601). Reports are prepared in conformity with the Uniform Standards of Professional Appraisal Practice (USPAP). Nothing here is legal or tax advice; admissibility is always the court's decision.
Frequently asked questions
Does an appraiser have to give me an engagement letter?
BREA tells appraisers to use written engagement documents that include all terms, such as the delivery date, fees, clearly defined assignment conditions and the subject property address. On lender work, California law requires an appraisal management company to engage appraisers with an engagement letter that includes terms of payment. Ask for the terms in writing on any direct assignment.
Who should be named as intended users in the letter?
Everyone who needs to rely on the report: for example the executor and the estate's CPA, both spouses or both attorneys in a joint divorce engagement, or a trustee. Someone who is not named is not entitled to rely on the report just because they hold a copy.
Can the engagement letter say what value I need?
No. California Civil Code section 1090.5 treats giving an appraiser an anticipated, estimated or desired valuation as improper influence, and Business and Professions Code section 11323 bars an appraiser's pay from depending on the value conclusion. The letter defines the assignment, never the answer.
Should testimony be in the engagement letter?
If a declaration, deposition or testimony may be needed, yes. Settling it at engagement lets the scope, fee and timing account for it. Whether a court admits the report or the testimony is always the court's decision.
