No College Degree for Cert Generals or Residential Appraisers

[Elliott]

I was at a Big Box discount store yesterday, while waiting in line for 10-minutes, I overheard a young security guard explaining to another security guard about "if you put you money in a checking account, you have less money in a year. The other guard was shaking her head. The first guard, said, "No, really, if you put a dollar in, one year later it will only be worth like 90 cents. The other guard still wouldn't accept what he was saying.

I thought, 'I bet trying to explain compound interest to them would blow their minds.' Welcome to the world of new CGs.

 

[Fernando]

You need to have some proficiency in reading the rules and understanding the text books on appraising along with writing and math skills. I can't think of much else except the key ingredient. And that ingredient is a logical thought process so that you can analyze property in a sound and consistent manner.

I took an appraisal class in college. Being overconfident, I didn't read the textbook and I got a grade B.
As y'all know, it didn't matter. Fernando became a great appraiser.

 

[cashcatz]

The American college system is broken beyond repair. Glad to see the degree requirement getting dropped, and I say that as someone with the degree (BBA in real estate). A very large percentage of "degrees" are useless and overpriced and don't prepare students for the workforce. We should transition to more focused trade schools.

 

[WestMichiganCG]

We've talked about this ad nauseam in this forum. The concern is a diluted pool of experience that pulls the experience average down. A newly minted appraiser with no experience outbidding an experienced one by beating them on fee and turn time. A bank called me the other day complaining about their cheap fast appraiser that gave up on the assignment due to difficulty, it was a tricky one. I had bid on the job based on its complexity and knew where the other appraiser had erred immediately. Banks want the deals made and they want a fast and quick valuation with enough accuracy to minimize their lending risk. Using an automotive analogy, many of us are trying to sell high end vehicles at high end prices and are in a market that is predominately looking for runners. I started in this industry planning to quickly rise to the top based on hard work and quality and realize that I'm fighting for my life for the remaining good clients. With that said, I think this industry is too difficult for many people to handle fresh out of high school and there are jobs that frankly are going to make them significantly more money. I think a young person fresh out of high school would be better off going into the trades and taking online business classes. I also think that the Certified General field isn't going to be flooded with residential appraisers anytime soon. The licensing in my state still has the class requirements and the test requirement.

 

[Fernando]

The American college system is broken beyond repair. Glad to see the degree requirement getting dropped, and I say that as someone with the degree (BBA in real estate). A very large percentage of "degrees" are useless and overpriced and don't prepare students for the workforce. We should transition to more focused trade schools.

An important part of college is the social aspect in meeting other students from different background.
That's how my daughter met her husband.
She did have a high school classmate who excelled and went to Ivy League on a full scholarship because he was poor.
However, it seemed his time there was not as beneficial as he resented the rich kids at the school thus he didn't take advantage of networking opportunities.

 

[alebrewer]

I was an appraiser several years prior to getting my undergrad degree. I did not become a better appraiser as a result of completing the degree. I did, however, become a better appraiser by choosing to take the difficult assignments, by choosing to take the difficult CE, by choosing to align myself with folks who were REALLY good, and by constantly learning. I'm still learning. What makes an appraiser good (IMO) is: (1) having the desire to be good, and (2) having the mental capacity to be good.

 

[Terrel L. Shields]

A newly minted appraiser with no experience outbidding an experienced one by beating them on fee and turn time. A bank called me the other day complaining about their cheap fast appraiser

The bank is at fault for picking price over competency. They are ignoring the FDIC and its requirements that the choice of appraiser is based upon matching the appraiser's qualifications to the complexity of the assignments.

 

[Fernando]

I was an appraiser several years prior to getting my undergrad degree. I did not become a better appraiser as a result of completing the degree. I did, however, become a better appraiser by choosing to take the difficult assignments, by choosing to take the difficult CE, by choosing to align myself with folks who were REALLY good, and by constantly learning. I'm still learning. What makes an appraiser good (IMO) is: (1) having the desire to be good, and (2) having the mental capacity to be good.

For my Master Thesis, I gathered public record manually for a neighborhood in SF and input main variables like bedroom, bath, lot size, nonAnsi GLA and see if I could get a good predictable model using Lotus software.
This was before the internet and it was a way for theoretical analysis using appraiser skills at same time.
Unfortunately, I found it wasn't sufficient as the solution and predictor for quick accurate appraising. It took time gathering the data and it wasn't practical.
MARS seems to have potential but still not ready for practical appraising.

 

[Non Sequitur]

We've talked about this ad nauseam in this forum.

Yep. But I think TAF and the AQB thrive on drama. None of this should have ever been an issue, there should have always been two paths: 1) College degree, QE, national/state exam, experience, certification. 2) No college degree, QE plus some additional course work, national/state exam, certification.

Easy-peasy as opposed to a college degree or SOL, or college degree means nothing. Anyhow, this isn't happening in a vacuum. Within the context of the politics of our industry, everything happening benefits the course providers and firms who hope to make bank off of the dreams of aspiring appraisers.

 

[djd09]