Opinion: Does it pay to have an MAI?

[stephenbullock]

The MAI is definitely worth pursuing but there is no guarantee it will remain the most valuable designation 20 years down the road. Our numbers are declining and when I walk into an AI meeting 90% of the people in the room have grey hair. MRICS/FRICS is very slowly gaining recognition in N. America. In Europe, Asia and the Midde East which has 85%+ of the world population, MRICS/FRICS is the only qualification with value. Few in the RE sector in these regions have ever heard of the MAI or the AI. I was working in Asia and had the 10th edition of the Appraisal of RE out (has red cover) and was asked if it was "the Red Book" (RICS Valuation Guidelines). As economic power continues to shift towards Asia, MRICS/FRICS could one day be more valuable than the MAI in the US. If so, I think this would be at least 20 years out.

 

[PL1957]

The MAI is definitely worth pursuing but there is no guarantee it will remain the most valuable designation 20 years down the road. Our numbers are declining and when I walk into an AI meeting 90% of the people in the room have grey hair. MRICS/FRICS is very slowly gaining recognition in N. America. In Europe, Asia and the Midde East which has 85%+ of the world population, MRICS/FRICS is the only qualification with value. Few in the RE sector in these regions have ever heard of the MAI or the AI. I was working in Asia and had the 10th edition of the Appraisal of RE out (has red cover) and was asked if it was "the Red Book" (RICS Valuation Guidelines). As economic power continues to shift towards Asia, MRICS/FRICS could one day be more valuable than the MAI in the US. If so, I think this would be at least 20 years out.

Unless the AI gets it's act together, it could be less than 5 years out.

 

[andy ruffner]

I just received my MAI designation this month and I would definitely recommend it to anyone doing commercial appraisals, no matter where you are in your career. IMO it was well worth every penny/hour spent.

I completely agree with the other posters who said the experience from the process itself is invaluable. Studying for and taking the comp will expose you to concepts and applications you might not otherwise ever see in your day-to-day practice, which will help your confidence and competency when you come across something new in an assignment. With a good reviewer, the experience review gives you a chance to see your work through another MAI's eyes and identify your strengths and weaknesses. And, the experience of writting a demonstration report will almost definitely improve the quality of your reports.

Plus, at the end of the process, you're an MAI!

Congratulations!

 

[andy ruffner]

I've got my fingers crossed as I took the income module last thursday. I took the whole four hours this time and read and reread a couple times each question. I think I eliminated a lot of the "extra info" not relative to the answer this time around. Damn, I wish I knew, at least individually, the scoring and passing. The feedback regarding missed questions is okay, but pretty broad.

 

[Vernon Martin]

RICS v. AI?

MRICS/FRICS is very slowly gaining recognition in N. America. As economic power continues to shift towards Asia, MRICS/FRICS could one day be more valuable than the MAI in the US.

I haven't found that to be the case in my work in Asia, Australia and Fiji. No one asks me if I'm affiliated with RICS, even in former British Commonwealth nations. MRICS and FRICS are not even appraisal designations, and when I've searched for appraisers in the AI and RICS directories, almost none of the RICS members are "valuers". Most are cost estimators.

When I worked for a British firm under an FRICS and an ARICS (now called MRICS), the only designation they recommended I pursue was the MAI. When I attended the Pan Pacific Congress of Valuers, RICS had no representatives there, but AI had two (president and former president) and AI Canada had one. I was also surprised to find many Asian appraisers working on MAI designations. If you consult the AI directory, you will find 63 MAIs in China, 44 MAIs in Korea, and 15 MAIs in Japan.

I'm not sure what the RICS is trying to accomplish with U.S. appraisers since it is not offering a comprehensive educational program here, unlike such US organizations as AI, ASA, IAAO, NAIFA and ASFMRA. I am suspicious of organizations that offer designations without offering an educational program. $500 + your MAI designation will get you the same MRICS designation held by many 25-year-old English cost estimators, but why park a Kia next to your Cadillac?

I see that you are the chair of the New England chapter of RICS, so I understand why you're selling the RICS Kool-Aid, but what is RICS accomplishing here besides collecting $500 per year from the thousands of appraisers signing up? What value is RICS adding here?
Their valuation standards are lower than AI standards.

Call me a cynic, but the only discernible purpose they seem to have here is to collect dues.

 

[Caligirl]

You need an MAI designation to do certain types of work. Municipalities, DOT, conservation easements, public works, etc.

The designation is worth the time and effort in terms of what you will learn. The education is top notch.

I have some gripes with the AI which I have brought up in other threads and would be off-topic here; in sum I agree with the others that the MAI pays off and then some in the long run.

 

[NevCG]

I've got my fingers crossed as I took the income module last thursday. I took the whole four hours this time and read and reread a couple times each question. I think I eliminated a lot of the "extra info" not relative to the answer this time around. Damn, I wish I knew, at least individually, the scoring and passing. The feedback regarding missed questions is okay, but pretty broad.

Andy-

Thanks for the congrats and good luck on the Income Module! Most people I've talked to pass it the second time around so hopefully you'll fall into that camp.

 

[andy ruffner]

Andy-

Thanks for the congrats and good luck on the Income Module! Most people I've talked to pass it the second time around so hopefully you'll fall into that camp.

Thank you NevCG! I felt pretty good, now just waiting for that email......

 

[stephenbullock]

Vernon, I'm not trying to push the MRICS/FRICS qualifications. Notice I said 20 years and that's if current trends persist. The AI is doing better in China and Korea than any other countries but there are 200+ MRICS/FRICS in China and 80 additonally hold the Chartered Valuation Surveyor specialism which is the equivalent of the MAI. I am encouraged by the fact that the AI is at least giving RICS a run for their money in China. Unfortunately, don't think there are any MAIs in India vs. 200 MRICS/FRICS and growing fast. RICS has offices in Hong Kong, India, Middle East, US. I'd like to see the AI open overseas offices.

 

[Stone]

You need an MAI designation to do certain types of work. Municipalities, DOT, conservation easements, public works, etc

You do? Huh.