Real Estate News

PERLMUTTER, KUSTOFF INTRODUCE LEGISLATION TO MODERNIZE REAL ESTATE APPRAISAL LICENSING SYSTEM - bipartisan legislation to modernize the real estate appraisal licensing system. The Portal for Appraisal Licensing Act establishes a nationwide licensing system for real estate appraisers to improve the appraisal regulatory structure, reduce cost, and eliminate red tape.  “The Portal for Appraisal Licensing Act will eliminate red tape for appraisal licensing by creating a one-stop shop for renewing licenses and certifications,” 

Appraisers struggle to keep up with demand in hot real estate market - Ryll said the number of appraisal companies in the Upstate has remained fairly steady in the past decade or so, and the fact that the certification process takes up to 18 months or more means new appraisers can’t enter the market quickly.

“It’s difficult to add staff quickly in this business,” he said. “The training takes a long time, and licensed appraisers like myself simply don’t have the time to properly train people when we’re as busy as we are right now.” According to information from the state Department of Labor, Licensing and Regulation, which oversees certification and licensing of real estate appraisers, the process for qualifying as an appraiser begins with three courses and completion of a supervisor/trainee course. Once that is completed, training continues under the supervision of a certified appraiser for six to 18 months, depending on the license being attained. During that time, trainees must take more appraiser courses and gain experience to upgrade to “licensed” or “certified.” The last step is the state exam. During the pandemic, many lenders allowed more desktop appraisals, which means an appraiser is not required to do an on-site inspection, but can accept photos and data from a real estate agent or home inspector to begin the appraisal process.

He said appraisers were reluctant in the past to accept data from third parties not specifically trained to take those measurements because the appraiser was still liable for any mistakes made. But new language in federal lending guidelines has now passed that liability to the data collector, so certified appraisers have more protection in that regard. “Appraisers are reluctant to submit data on properties that can be stored indefinitely,” he said. “If enough of that data is kept, appraisers worry that it can reduce demand for their expertise and services.