Opinions on : Proper Procedure to Quit.

[Alamo Cowboy]

Hi Guys, your input is appreciated.

What is the Proper Procedure to Retire from appraising
1) Besides just saying No to client assignments or deleting their email-contact
is it necessary : to contact all clients to inform them to remove me from "active duty" & thereby cancelling (any) Initial Sign-up Documents ? ( I have contacted two clients & received a Letter from both acknowledging my request to be removed from their Active List. )
2) OR simply- by not renewing license I would respectfully be removed from being applicable to receive GSE federal related appraisals?
3) Do I need to contact the State Boards directly for any potential information I need to provide them? (No I have not contacted them yet. If a must...I will)
3) How long would you retain an E&O policy?
4) Do I need to contact any web or advertising pages that List my Appraisal Company? (Will be retaining RE Companies)
5) Yes, cancel all software products.

Thanks

Answers:
1. Let your main clients (top 3 clients) know 30 days in advance of your retirement. Don't loose business you don' have to.
2. I retired when I maxed out my social security benefits and turned 70. My license renewal was during this time period.
3. Don't need to contact the State Boards as they will get the picture from your lack of renewal.
4. Notify all your web advertising pages such as AppraiserUSA 30 days in advance.
5. Cancel all your appraisal software products such as alamode, costar, MLS about 7 days before retiring.
6. Retain a 1 year tail E & O policy. You won't need one longer than that.
7. Cancel your appraisal email address & telephone # when the tail E & O policy ends. Solves much junk mail & calls.
8. In Texas one needs to keep their physical files for 4 years after retirement. I threw boxes into the trash can every month for 48 months.
9. Keep your access for your appraisal files on your computer as long as you can. Sometimes, you might want to go down memory lane and review an older work product or contest a county property tax bill and need to actually do a report.
10. Let all your professional appraisal organizations such as IRWA, ASA, MAI, NAIFA, etc. know about your retirement 30 days in advance. Some will offer you a major discount to stay on as a retired member. I chose to cut the cord and not keep paying dues.

Side Note:
The thing I missed the most after retiring was the loss of access to data.
The most annoying thing was telling all the realtors that I was no longer in the business when they call during my first year of retirement.
Enjoy your retirement.

 

[BRCJR]

My effort is not : to simply delete contact info, I could block.

is not what my comments indicated. I indicated removing your contact information from active websites you may being advertising on.

As I stated, "I could not image trying to find every web site"

 

[Tom4value]

If you are retiring, it means you owe “nobody nuttin!” You could just do nothing and just tell them you are retired whenever they call.

One thing you do want to do is maintain your files and E&O for 5 years. That is how long you are responsible for them and how long you can be sued, even if you no longer are working and no longer have an active license. I am pretty sure your carrier will give you a discount for just coverage of past files.

Otherwise, enjoy retirement!!!

 

[Alamo Cowboy]

If you are retiring, it means you owe “nobody nuttin!” You could just do nothing and just tell them you are retired whenever they call.

One thing you do want to do is maintain your files and E&O for 5 years. That is how long you are responsible for them and how long you can be sued, even if you no longer are working and no longer have an active license. I am pretty sure your carrier will give you a discount for just coverage of past files.

Otherwise, enjoy retirement!!!

Each state regulates how long an appraiser needs to keep their files. In Texas it is 4 yrs. In Cali I believe it is 5 yrs. Check with your state.

I thought about keeping an E & O tail policy for 4 yrs. After checking with several insurance people I was told 90% of all lawsuits for an appraiser are originated within 12 months of a suspected wrongdoing or the date report was prepared. I chose to go with a one year tail policy which I believe is typical of our industry. My carrier didn't offer a discount for 1 to 4 year tail policies.

However, everyone can do what they feel is necessary. It may differ for each appraiser.

 

[JeffSH]

Congrats on retirement. I left Omaha years ago and my license isn't even valid anymore, but I still get random one-off requests every once in a while. Just stop working and don't respond to calls. Tell the clients that send work directly that you are retiring. Nothing else you can really do.

 

[Terrel L. Shields]

Buy tail insurance from your E & O.
Post a "vacation message" saying you have retired on your phone and wait six months before canceling the phone service.

and
Change your name
Move out of state
leave no forwarding address
Of course, that won't stop the car warranty guys.

 

[Terrel L. Shields]

ach state regulates how long an appraiser needs to keep their files.

If you have no license, what can they do? Take your license away???

 

[ramrcdk]

Answers:
1. Let your main clients (top 3 clients) know 30 days in advance of your retirement. Don't loose business you don' have to.
2. I retired when I maxed out my social security benefits and turned 70. My license renewal was during this time period.
3. Don't need to contact the State Boards as they will get the picture from your lack of renewal.
4. Notify all your web advertising pages such as AppraiserUSA 30 days in advance.
5. Cancel all your appraisal software products such as alamode, costar, MLS about 7 days before retiring.
6. Retain a 1 year tail E & O policy. You won't need one longer than that.
7. Cancel your appraisal email address & telephone # when the tail E & O policy ends. Solves much junk mail & calls.
8. In Texas one needs to keep their physical files for 4 years after retirement. I threw boxes into the trash can every month for 48 months.
9. Keep your access for your appraisal files on your computer as long as you can. Sometimes, you might want to go down memory lane and review an older work product or contest a county property tax bill and need to actually do a report.
10. Let all your professional appraisal organizations such as IRWA, ASA, MAI, NAIFA, etc. know about your retirement 30 days in advance. Some will offer you a major discount to stay on as a retired member. I chose to cut the cord and not keep paying dues.

Side Note:
The thing I missed the most after retiring was the loss of access to data.
The most annoying thing was telling all the realtors that I was no longer in the business when they call during my first year of retirement.
Enjoy your retirement.

Perfect Post !!

Beginning back-in early 2022 my crystal ball said Quit Now!
So, I've been full-time practicing that for months.
Just FYI: You will not experience behavioral "withdrawals" !
The How To Do-It is Now. Thanks for your input "everyone"!

 

[Terrel L. Shields]

In AR, I can let the license expire. In OK they have a 3 year license. If mid-license, you need to notify them in advance or they put you before the board for non-payment which has real implications should you decide to pick up your license again a year later. You can get a large fine (OK is also known for charging you for the investigation if one is initiated.)

 

[Tom4value]

Each state regulates how long an appraiser needs to keep their files. In Texas it is 4 yrs. In Cali I believe it is 5 yrs. Check with your state.

I thought about keeping an E & O tail policy for 4 yrs. After checking with several insurance people I was told 90% of all lawsuits for an appraiser are originated within 12 months of a suspected wrongdoing or the date report was prepared. I chose to go with a one year tail policy which I believe is typical of our industry. My carrier didn't offer a discount for 1 to 4 year tail policies.

However, everyone can do what they feel is necessary. It may differ for each appraiser.

According to the USPAP RECORD KEEPING RULE:
"An appraiser must retain the workfile for a period of at least five years after preparation or at least two years after final disposition of any judicial proceeding in which the appraiser provided testimony related to the assignment, whichever period expires last."

You are right about the 90% of all lawsuits are within the first 12 months. I will probably do that, as well. I was just saying that legally, it is possible to be sued up until that point.