AI Disclaimer & Limitations Notice

Appraiser Guru by Ergora LLC · Last Updated: February 2026

1. AI Technology Provider

The Appraiser Guru platform uses artificial intelligence technology provided by Anthropic PBC ("AI Provider"). Specifically, the platform leverages Anthropic's Claude large language models (LLMs) to assist appraisers with analysis, content generation, and data processing tasks.

Claude is a conversational AI model trained on a broad range of text data and is designed to perform various language understanding and generation tasks.

2. AI Capabilities Within the Platform

2.1 Narrative Generation

The AI assists with generating draft narrative sections for appraisal reports, including: market conditions narratives, highest and best use analysis, site comments, condition and quality comments, and reconciliation narratives.

2.2 Comparable Sales Analysis

The AI assists with: suggesting adjustment values, ranking and scoring comparables by relevance and similarity, and generating text explanations for proposed adjustments.

2.3 Property Photo Analysis

The AI analyzes uploaded photographs and can: identify property condition issues, recognize features (roof type, siding material, architectural style), and flag potential defects or concerns.

2.4 Data Parsing and Structuring

The AI assists with: MLS text parsing (extracting key information and populating structured fields) and document parsing (extracting appraisal data from documents, emails, and other sources).

3. Critical Limitations of AI Output

3.1 AI Does NOT Make Value Determinations

The Appraiser Guru AI does NOT determine property values, estimate a final appraised value, or make value conclusions. The AI assists with analysis and narrative generation, but the appraiser is solely responsible for reviewing all information, considering all relevant factors, and making the final value determination.

3.2 No Professional Judgment Substitution

AI-generated output does not substitute for the professional judgment, expertise, and legal responsibility of the licensed appraiser. The appraiser must independently evaluate all information, verify data accuracy, and ensure conclusions are sound.

3.3 No Guarantee of Accuracy

The Company and AI Provider make no warranty regarding the accuracy, completeness, or reliability of any AI-generated output. AI may produce factually incorrect statements (hallucinations), inappropriate adjustment values, logically inconsistent narratives, or conclusions that contradict evidence provided.

3.4 Not Professional Appraisal Advice

AI-generated output does not constitute professional appraisal advice, a professional appraisal opinion, or a substitute for appraiser expertise. Users must not rely on AI output without independent verification.

3.5 No Independent Data Access

The AI does not have independent access to live MLS data, public records databases, current market data beyond what users provide, or updated appraisal regulations. The AI can only analyze data that users submit.

4. Appraiser Responsibility and Duty

4.1 Independent Review Requirement

Every AI-generated output must be independently reviewed, verified, and edited by the licensed appraiser before inclusion in any appraisal report. The appraiser must verify that all statements of fact are accurate, all adjustments are appropriate and justified by market evidence, conclusions are logically consistent, and the narrative aligns with the appraiser's professional judgment.

4.2 No Blind Reliance

Reliance on AI output without independent verification is at the appraiser's own risk and may violate USPAP standards. The appraiser is responsible for all content in the final report, regardless of source. AI errors do not excuse the appraiser from professional and regulatory obligations.

4.3 USPAP Compliance

Appraisers must comply with the Uniform Standards of Professional Appraisal Practice (USPAP) and all applicable state appraisal licensing regulations. Use of AI-generated content must be consistent with USPAP requirements regarding proper consideration of relevant data and disclosure of methodology.

4.4 Professional Liability

The appraiser is solely liable for all conclusions, statements, and opinions in the final appraisal report. The use of AI does not transfer professional responsibility to Ergora or the AI Provider. The appraiser cannot claim "the AI made this statement" as a defense for inaccurate content.

5. Data Handling and Privacy

5.1 Data Transmission to AI Provider

When you use AI features, report content (including property descriptions, comparable sales data, images, and other information) is transmitted to Anthropic's API servers for processing. This transmission is necessary for the AI features to function.

5.2 Anthropic's Usage Policies

Data transmitted to Anthropic is subject to Anthropic's Usage Policies and Privacy Policy. As of February 2026, Anthropic's standard API terms state that data submitted via the API is not retained or used to train future models. Users should consult Anthropic's current privacy documentation.

5.3 Sensitive Information Caution

Users should not include sensitive information (SSNs, loan application details, confidential financial information of borrowers) in AI requests unless necessary for the appraisal function. We recommend redacting unnecessary sensitive data before submitting content to AI.

5.4 Data Processor List

A complete list of data processors, including Anthropic, is available in the Subprocessor List.

6. Known AI Limitations and Failure Modes

6.1 Hallucinations — Appraisal-Specific Examples

AI models can produce confident-sounding statements that are factually false or unsupported by provided data. In the appraisal context, hallucinations may include:

  • Fabricated comparable sales: The AI may reference a sale that never occurred, citing a plausible-sounding address, sale price, and date that cannot be verified in MLS or public records.
  • Incorrect zoning classifications: The AI may state a property is zoned R-1 Single Family when it is actually zoned R-2 or PUD, potentially affecting highest-and-best-use analysis.
  • Misidentified property features: The AI may describe a property as having a finished basement or attached garage when the photos or data show otherwise, leading to incorrect adjustments.
  • Inaccurate market trend statements: The AI may assert that the local market is "appreciating at 5% annually" when actual market data shows a different trend or declining conditions.
  • Wrong flood zone or regulatory information: The AI may state a property is in Zone X (minimal flood risk) when FEMA data shows it is in Zone AE (high risk), which could affect lender requirements and property value.

Always independently verify all factual claims in AI output against authoritative sources.

6.2 Other Known Limitations

  • Local Market Nuances: AI output reflects patterns in general training data and may not account for local market nuances, recent regulatory changes, or neighborhood-specific factors.
  • No Physical Inspection: The AI cannot perform physical inspections. Photo analysis is limited to what is visible in provided images.
  • Data Quality Dependency: AI output quality depends entirely on the quality of data provided. Inaccurate or incomplete data produces deficient output.
  • Bias and Fairness: AI models can reflect biases present in training data. Be vigilant about identifying and correcting biased conclusions, particularly regarding property characteristics, neighborhoods, or demographic factors.

7. Regulatory and Disclosure Considerations

Depending on applicable USPAP standards and state regulations, appraisers may be required to disclose that AI-assisted technology was used. Consult applicable USPAP Advisory Opinions and your state appraisal board for specific disclosure requirements.

Appraisers should clearly communicate to clients and lenders how AI was used in their work, what role it played, and that the appraiser independently verified all output.

8. Liability Disclaimer

8.1 Ergora's Disclaimer

Ergora LLC disclaims all warranties regarding AI output, including any implied warranties of merchantability, fitness for a particular purpose, or non-infringement. Ergora makes no warranty that AI output will be accurate, appropriate for regulatory standards, free from errors, or suitable for any particular use.

8.2 Limitation of Liability

Ergora shall not be liable for any damages arising from reliance on AI-generated content, including loss of income, professional liability or regulatory fines, third-party claims, or damaged professional reputation.

8.3 User Responsibility for Verification

Users acknowledge and accept full responsibility for independently verifying all AI-generated content before including it in any appraisal report or professional work product. The appraiser is the sole professional of record and bears full responsibility for the accuracy, completeness, and regulatory compliance of the final appraisal report, regardless of whether AI-assisted tools were used in its preparation.

9. Best Practices for AI Use

  1. Always review AI output before relying on it.
  2. Verify all factual statements independently.
  3. Apply your professional judgment and market knowledge.
  4. Edit AI-generated text to reflect your conclusions, not the AI's.
  5. Be transparent with clients and lenders about your use of AI.
  6. Ensure all content is consistent with USPAP and state licensing requirements.
  7. Do not rely on AI for regulatory or legal compliance guidance.
  8. Maintain professional liability insurance that covers technology-assisted work.

10. Contact Information

Ergora LLC
13750 Embers Ct
Plymouth, MI 48170
Phone: (734) 404-4716
Email: support@ergora.ai