MAI - Is it worth it?

[dacsavannah]

Found this on the MAI fact sheet (on AI site):


The MAI designated membership, which once stood for Member of the Appraisal Institute but is no longer an acronym, represents the best of the best in the commercial and general real estate valuation profession.

I know my obsession is a little off topic, but it's been stuck in my craw for years.

 

[tsiegel]

The fact that this question is even being seriously debated shows how far the AI has slipped over the last 20-25 years.

This is the reason that I started this thread in the first place. I don't have any special love for the AI. Until I began to seriously consider pursuing an MAI designation, I didn't see any benefit in affiliation. I think the institute had become a smidge lazy given their previous monopoly on the profession. They failed to innovate along with the rest of the industry. For example, they are just now beginning to publish books in ebook format. Something that would have been a convenience to many a while ago. I have always felt that they could significantly beef up the benefits they offer to appraisers.

In their defense... I don't believe that the organization as a whole does not care about its members. I think they have simply been slow to realize that they were behind the times and that the next generation of appraisers didn't really care about the benefits they had always offered. I have heard that they are re-vamping just about everything for 2014. Just a rumor. One major change is that the classes required for the MAI designation will all be available via webinar. No travel necessary. More convenient and less costly. I am all for it. I am looking forward to seeing other innovations as well.

One thing that I have long been thinking that should be offered by the AI is multiple levels of designation. This would allow the MAI's to truly distinguish themselves as being the best and would allow for other appraisers to distinguish themselves as being a notch above simply having met the state requirements for licensure. Just my thoughts. Not to mention this would almost certainly increase membership/affiliation (and revenues) for the AI.

 

[JSmith43]

One thing that I have long been thinking that should be offered by the AI is multiple levels of designation. This would allow the MAI's to truly distinguish themselves as being the best and would allow for other appraisers to distinguish themselves as being a notch above simply having met the state requirements for licensure.

In medical related fields, the qualification standards for a "nurse practitioner" have been developed. They can write prescriptions & effectively have become Doctor "Lite", right between a RN & a general practice MD.

The same is happening in dentistry. So called dental practitioners have been approved in some states. Basically they can handle routine fillings, etc. Dentists accept these initiatives about as well as long time designated appraisers accepted licensing, which minted new competition, with dubious qualifications, on average.

Introduction of a designation between say, SRA & MAI? It will dilute the branding of MAI, IMO, but it will help fill market demand & will help grow the AI. It might head off eventual Appraisal Foundation scope creep

 

[JSmith43]

I liked having the Society of Real Estate Appraisers around. AIREA and the "Society" competed like Hertz and Avis. NAIFA & ASA were Dollar Rent a Car & Budget (no particular order).

The profession evolved more logically than since it was essentially sandboxed by a socialization/regulation scheme.

 

[PL1957]

IMO, if you intend to treat appraisal as a profession, as opposed to a trade, the MAI is worth pursuing. I practice in a major metro area that has more MAIs than you can count. In this area, the MAI is a must credential in order to do any serious commercial work. Of course, you can always find the exceptional non-designated appraiser, but that's what they are - exceptions.

As some have alluded, the process of designation is as waluable as the letters themselves. IMO, looking to complete this process through distance learning is a mistake. I've learned at least as much from my classmates as I have from the instructors. Plus, it feels funny to go drinking with your computer after class.

From what I've seen, having the MAI in a secondary market is probably even more valuable than having one in a metro area. I've met a lot of small town MAIs. Inevitably, they're fat, happy and prosperous. Most are extremely well connected in their local real estate markets, often making more through their relationships than through their practices. Are they successful because of their designations? I don't know, but I'm sure it doesn't hurt.

 

[dacsavannah]

In medical related fields, the qualification standards for a "nurse practitioner" have been developed. They can write prescriptions & effectively have become Doctor "Lite", right between a RN & a general practice MD.

The same is happening in dentistry. So called dental practitioners have been approved in some states. Basically they can handle routine fillings, etc. Dentists accept these initiatives about as well as long time designated appraisers accepted licensing, which minted new competition, with dubious qualifications, on average.

Introduction of a designation between say, SRA & MAI? It will dilute the branding of MAI, IMO, but it will help fill market demand & will help grow the AI. It might head off eventual Appraisal Foundation scope creep

I think everyone who became Certified General prior to 2008 should do themselves a service and note how much harder it is nowadays. I've seen comments from a couple who have had to do it both ways and their perspective is telling. I feel like my CG is much heavier than one minted in, say 1999. No offense at all intended to anyone, sincerely. I realize that legally, they are exactly the same and that there is no fine print on either. Someone coming into the profession and desiring to go into commercial, though, is looking at one heck of a challenge and a ton of commitment, and must find a really good situation to make it happen.

I say this because, in practice, in my opinion, the newer CG is at least a midpoint between some older CG's and an MAI. Of course, I realize that I am biased and feeling my oats still after completing this challenge myself. I also realize there are likely some older CG's who never got a degree or took any more classes than the minimum continuing ed who are much better appraisers than many recent MAI's.

I'm just saying that, if you stack up the requirements for each license, certification, general certifications of various vintage, SRA and MAI designations in a line, the newest CG is a pretty tall stack, for what that's worth. One more class, the comp, and demo, all of which I have scheduled this year, and I hope to have those three letters.

 

[JSmith43]

I say this because, in practice, in my opinion, the newer CG is at least a midpoint between some older CG's and an MAI.

I can't recall how hard the original CG test was that I took, but I don't recall preparing for it. And, I hear the recent versions are tough. That's inside baseball.

Some of us may be aware that there is a different gauntlet run now compared to then, but I doubt the market participants look beyond the license, work sample, references & the presentation/reputation.

While taking an AIREA cap course in 1985? I recall there was a MAI in the class, an old fella that seemed to be struggling a bit. It turns out he was required to take the course to satisfy a disciplinary condition.

At that point in time, it appeared that there was quite a range of competence among MAI designated appraisers. The nasty rumor at the class was that this guy was so old he missed some of the tougher parts of the designation process that were later implemented. I have no idea if that last part is accurate or not.

 

[Doug DeMars]

So MAI doesn't stand for "Made As Instructed"?

FWIW...I have great respect for the designation. It does make sense the top-tier commercial designation will give a notable edge over the competition. On the residential side...I think the SRA designation will look more like a cliff compared to the "certified rezi" license level in about 5 or 10 years.

 

[JSmith43]

Made as instructed was the common insult issued back in the AIREA era.

Now, with all the MAI in prominent positions at AMC outfits or at work tweaking AVM modeling, the new insult is "Manufactured As Instructed"

IFA is still "I Flunked Arithmetic" & SRA is "Should have Retired Already."

It is a shame I can't recall an insult slogan for ASA. They certainly are important enough to rate a commonly known insult.

They are all useful organizations. None of us should bash them for the heck of it. They do deserve honest criticism from time to time & should be "man enough" to hear it out/respond on point. After all, Consumer Reports bashed the 2012 Honda Civic & Honda thought it through & did a 2013 remake addressing all issues raised. Class.

We should all be grateful for the positive things they do for the profession.

 

[David Mescon]

I'm not particularly a "pro-designation" kind of guy, however, I would agree with the previous posters who stated it can be beneficial. The education is, IMO, unbeatable, and, depending upon what you do with it, many doors may open for you. I know a number of MAIs who make less than most residential lending types, and I also know a number who do exceedingly well.

In my particular case, not being designated was a benefit, however, my niches were just that - niches, and the same would not apply to the majority of appraisers. You're young, and sharp, (I've read many of your posts) - sounds to me like it might be a great idea. Good luck!