In most real property appraisals prepared for mortgage lending, who is the appraiser's client?

• A. The borrower
• B. The seller
• C. The real estate agent
• D. The financial institution funding the loan

Answer: (D)

In mortgage lending, the person or organization that hires the appraiser and pays for the appraisal—and to whom the appraiser provides the report for reliance—is the client. In this setting, that party is the financial institution funding the loan. The borrower may receive the report and act on it, and the lender is typically the intended user relying on the value opinion for underwriting and loan decisions. The key idea is who initiates the engagement and funds the appraisal—the lender—rather than who ultimately benefits from or uses the report. This arrangement helps preserve the appraiser’s independence and ensures the valuation is guided by the lender’s underwriting needs while still maintaining objectivity.