CAR Study Guide 2026

Everything you need to pass the CAR exam in one place: the exam format, every topic to study, real practice questions with explanations, flashcards, and full-length practice tests. Free, no sign-up needed.

📋 CAR Exam Format at a Glance

100
Questions
120 min
Time Limit
70.00%
Passing Score

📚 CAR Topics to Study (69)

✍️ Sample CAR Questions & Answers

1. Under USPAP's Standards Rule 3-2, a reviewer must identify the work under review. What is the primary risk if this step is inadequately performed?
The reviewer may inadvertently render an opinion on a different appraisal than intended

Failing to properly identify the appraisal being reviewed can cause the reviewer to critique or rely on the wrong report, undermining the review's validity.

2. Which of the following is a key risk indicator when reviewing an appraisal that uses the income approach for a small residential rental property?
The vacancy rate used is below the market rate without explanation

Using a below-market vacancy rate inflates the effective gross income and resulting value, overstating collateral and increasing lender risk.

3. Which approach best supports quality outcomes in Foundational Concepts & Principles for Certified Appraisal Reviewer?
Systematic application of evidence-based methods

Evidence-based methods provide a reliable foundation for achieving consistent, high-quality outcomes.

4. A lender submits additional comparable sales to an appraiser and requests reconsideration of value. Under AIR and USPAP, the appraiser should:
Objectively evaluate the new comparables and respond with appropriate analysis

A reconsideration of value request is permissible when it provides legitimate market data; the appraiser must objectively evaluate the information and document their response.

5. When reviewing an appraisal that references an AVM as a reasonableness check, the appraisal reviewer should verify that the appraiser:
Disclosed the AVM as an extraordinary assumption if it materially influenced the value conclusion

If an AVM materially influences a value conclusion, USPAP may require it to be disclosed as an extraordinary assumption, since AVM accuracy cannot be personally verified by the appraiser.

6. When a reviewer identifies a potential USPAP violation in an appraisal, what is their first professional obligation?
Document the finding in the review report and notify the client according to the assignment conditions

The reviewer's primary obligation is to document findings in the review report and fulfill reporting obligations to the client; state board referrals may follow based on the client's direction or the reviewer's judgment about severity.

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1. Learn with Flashcards → 2. Drill Practice Tests → 3. Take the Full Exam Simulation
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