A career in appraising promises great opportunities and immense growth. However, there are certain educational conditions that need to be met in order to become an appraiser.
Here is the complete process to become a real estate appraiser:
Get a Trainee License by Completing Coursework:
Specific coursework needs to be completed which provides a solid foundation in real estate appraisal. This would enable you to become a trainee. There are national course requirements imposed by the Appraiser Qualifications Board (AQB) along with additional coursework requirements which differ from state to state.
In order to become a trainee appraiser, 75 hours of basic appraisal education is required. This is divided into three courses:
a) Basic Appraisal Principal (30 hours): This course includes the foundations of real estate concepts, legal considerations, finance, economic principles and ethics of appraising.
b) Basic Appraisal Procedures (30 hours): This course introduces students to the real-time valuation process, it introduces three different approaches to value- cost approach, a sales comparison approach, an income approach. Additionally, it also teaches data collection, how to describe the subject property as well as communicating appraisal results.
c) Uniform Standards of Professional Appraisal Practice (USPAP) (15 hours): The USPAP 15-hour course delineates ethical behavior and competence as required in the industry.
In addition to this 75-hour course, a student also needs to take a four-hour supervisory and trainee class which focuses on trainee and mentor relationship.
Complete 1,000 hours of Real Estate Work Experience:
As required by the Appraiser Qualifications Board, in order to become a licensed appraiser, one must work under the supervision of a licensed real estate property appraiser for approximately 1,000 hours in a minimum of six months.
Complete Final College-Level Coursework for Appraiser License
As of May 1, 2018, AQB has removed the national college-level degree requirement. However, after completion of one’s 1000-hour mentorship, some states require a college-level degree alongside work experience. Therefore, according to the state one chooses to work in, one can look at the requirements of the particular state.
Pass the Residential Real Property Appraiser Exam:
Some states require one to take the real property appraiser exam in order to become a licensed appraiser. The exam is divided into different sections, each focusing on subjects like appraisal math, legal considerations, real estate markets, type of value, and other national subjects. All education and experience hours must be completed prior to taking this exam.
Submit your License Application to Get Your Appraiser License:
After completion of all educational requirements and work experience as well as passing the real property appraiser exam, one can submit an application to their state’s real estate appraiser’s board in order to obtain a license. You can find your state’s licensing board here. As one gains more experience, they can upgrade their license to appraise more types of properties.
The state application has certain requirements that generally include:
a) Background Information: This includes personal documents for background information along with any criminal or civil records of any kind (if applicable)
b) Course Credentials: This section asks for your course completion details in order to ascertain whether your educational background is sound or not.
c) Employment: This section asks for work experience and employment histories for further background information.
d) Experience report: This part asks specifically for an account of one’s appraisal experience as part of one’s curriculum.
After successfully submitting all documents and completing all requirements, one can become a Licensed Residential Appraiser