Upcoming Changes To Real Property Appraiser Qualifications

[eld2310]

I would venture to say that spending 2 or 3 years as an appraiser apprentice pretty much weeds out the "quick buck" gang. Just because someone has a degree doesn't mean they're ethical or that they're above cranking out appraisals quickly and carelessly. I'd have to see actual data proving that college degree = higher quality appraisals before I made that leap.

And yes, I have a HS diploma and about a year's worth of college credits from night school. Before I got into appraising I spent 19 years as a title examiner and title officer. I've also served the last 14 years as the director of a non-profit corporation involving hundreds of volunteers, the media, the law and my peers all over the world. I have plenty of focus, determination and can deal, and have dealt, very effectively with people in a variety of high stress situations in order to get things done.

But back in 1983 I chose not to go to college. I don't think that makes me an inferior appraiser prospect to a 22 year old kid clutching a liberal arts degree or something. However, if I wasn't already licensed I could't be an appraiser today regardless of my real estate background or my work history. I just don't think that's right.

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[Stephen J. Vertin MAI]

I just don't think that's right.

I totally agree. We are living in the age of cronyism and it is hurting free enterprise. There are hundreds of these licensing groups putting up barriers to entree. It is not just appraisers. The sad part is no barriers are needed in the appraisal business. The number of appraisers has actually declined.

 

[George Hatch]

Shoots, if the primary argument is that raising the barrier to entry will make those licenses more valuable to the appraisers or prevent the sloths from getting in then maybe we should be paying more attention to the quality of the work being out by these supervisor-trainee teams.

Imagine for a moment what would happen if the states all instituted a live audit program for experience credits. Trainee submits their log of experience for their hours that shows all the appraisal assignments they worked on, what kinds of properties were involved, the hours spent on each assignment, etc. The State schedules a morning or afternoon appointment where their examiner shows up at the trainee's place of business where they store all their files. The examiner presents a list of 3 or 4 assignments off the list and the trainee pulls the workfile - the contents being subject to review. Maybe as a bonus the examiner can demand a copy of the supervisor's file at the same time, to compare what the supervisor sent out vs what the trainee retained in their file.

The trainee can pay the cost of this review as part of their licensing application.

The effects of such an examination protocol for appraiser qualification could be profound. Neither the trainee nor their supervisor would be able to anticipate exactly which workfiles would be subject to review so they'd have to be careful with all those assignments. In compelling both parties to put report quality first it would hogtie a skippy supervisor from ever accommodating any illicit requests by the clients.

 

[Stephen J. Vertin MAI]

Just check with Joan Trice if you don't believe me

I am going to leave that one alone:new_llying: Wasn't there a Joan bashing string last week?

 

[J Grant]

I don't know, Stephen. It appears the appraisal profession is rife with rapists, fraudsters, and murderers. Just check with Joan Trice if you don't believe me.

And don't forget the ever lurking sex offenders!:icon_mrgreen:

 

[Highlander416]

I don't think the degree requirement is needed, but it is worth considering what is required for even a Liberal Arts degree. For example, my wife was finishing her degree recently. She had to pass 2 math courses. Calculous and Statistics. She has been out of school many years, and struggled to get by them. In fact, I can't event estimate the amount of time she took studying. Even to the point of getting hours of tutoring.

So, go back 10 years.

I am willing to bet that just adding calculous and statistics in addition to the 75 hours to gain a trainee license would have cut the applications by 80% or more. No degree, no 21 hours of required college courses. Just those two classes would have greatly reduced the # coming in.

 

[stangtime]

Shoots, if the primary argument is that raising the barrier to entry will make those licenses more valuable to the appraisers or prevent the sloths from getting in then maybe we should be paying more attention to the quality of the work being out by these supervisor-trainee teams.

Imagine for a moment what would happen if the states all instituted a live audit program for experience credits. Trainee submits their log of experience for their hours that shows all the appraisal assignments they worked on, what kinds of properties were involved, the hours spent on each assignment, etc. The State schedules a morning or afternoon appointment where their examiner shows up at the trainee's place of business where they store all their files. The examiner presents a list of 3 or 4 assignments off the list and the trainee pulls the workfile - the contents being subject to review. Maybe as a bonus the examiner can demand a copy of the supervisor's file at the same time, to compare what the supervisor sent out vs what the trainee retained in their file.

The trainee can pay the cost of this review as part of their licensing application.

The effects of such an examination protocol for appraiser qualification could be profound. Neither the trainee nor their supervisor would be able to anticipate exactly which workfiles would be subject to review so they'd have to be careful with all those assignments. In compelling both parties to put report quality first it would hogtie a skippy supervisor from ever accommodating any illicit requests by the clients.

I think if this were the case far fewer appraisers would even entertain the possibility of having trainees.

Dan

 

[LordofTexas]

I'd be curious to see how many forumites actually have a Bachelor's Degree.

Next requirement: Please include a recent business bank statement indicating you have $1,000,000 to cover any E & O case in the event your Insurance Carrier defaults.

The fewer appraisers, the more appraisal work for everyone else to pick and choose from. I say let them keep making new requirements and see how long the mortgage industry allows it.

Twenty eight years now appraising and I thought it was only 25. Time flies when you're having fun.

 

[stangtime]

I'd be curious to see how many forumites actually have a Bachelor's Degree.

Next requirement: Please include a recent business bank statement indicating you have $1,000,000 to cover any E & O case in the event your Insurance Carrier defaults.

The fewer appraisers, the more appraisal work for everyone else to pick and choose from. I say let them keep making new requirements and see how long the mortgage industry allows it.

Twenty eight years now appraising and I thought it was only 25. Time flies when you're having fun.

Yep. University of Md.

Dan

 

[Lost Cause]

Imagine for a moment what would happen if the states all instituted a live audit program for experience credits. Trainee submits their log of experience for their hours that shows all the appraisal assignments they worked on, what kinds of properties were involved, the hours spent on each assignment, etc. The State schedules a morning or afternoon appointment where their examiner shows up at the trainee's place of business where they store all their files. The examiner presents a list of 3 or 4 assignments off the list and the trainee pulls the workfile - the contents being subject to review.

Funny you should say that, George. In the beginning of state licensing of appraisers New York used to do something like that. It wasn't as a trainee, but as a newly-minted state certified appraiser when the state sent someone in to the bank where I was employed at the time and asked to review my files. The state licensing rep was givien free access to go through any and all of my appraisal files. They never discussed with me anything about what they were looking for or may have found.