DLLR's Division of Occupational and Professional Licensing

 

News and Information - Maryland Commission of Real Estate Appraisers, Appraisal Management Companies and Home Inspectors

 

Proposed Action – Appraisers - Adoption of 2014-2015 Edition of USPAP

The Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors proposes to amend Regulation .01 under COMAR 09.19.05 Code of Ethics. This action was considered at a public meeting of the Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors held on December 16, 2013, notice of which was published in the Daily Record on December 11, 2013, pursuant to State Government Article, §10-506(c), Annotated Code of Maryland. The purpose of this action is to incorporate by reference the 2014-2015 Edition of the Uniform Standards of Professional Appraisal Practice (USPAP), which were enacted by the Appraisal Standards Board of The Appraisal Foundation, effective January 1, 2014, and with which licensed and certified real estate appraisers are required, by federal mandate, to comply.

Notice of this action is published on pages 107-108 of the Maryland Register, Volume 41, Issue 2, January 24, 2014. Final action on the proposal will be considered by the Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors, during a public meeting to be held on April 8, 2014, at 10:30 a.m., at 500 N. Calvert Street, Baltimore, MD 21202.

Proposed Regulation - Continuing Education - Appraisers

The Commission is proposing to amend Regulation .04 under COMAR 09.19.02 Educational Requirements, which will require appraiser licensees and certificate holders to complete a minimum of 42 hours of continuing education prior to filing a license or certificate renewal application.

Notice of this action is published on pages 2075-2076 of the Maryland Register, Volume 40, Issue 25, December 13, 2013. Final action on the proposal will be considered by the Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors, during a public meeting to be held on February 11, 2014, at 10:30 a.m., at 500 N. Calvert Street, Baltimore, MD 21202.

Proposed Regulation - Minimum Standard of Practice – Home Inspectors

The Commission is proposing to amend Regulations .01, .07 and .08 under COMAR 09.36.07 Minimum Standards of Practice. This action will require home inspectors to identify the presence of corrugated stainless steel tubing (CSST) in a home inspection report, if observed, and to recommend to the client that the system be inspected by a licensed master electrician to determine whether the CSST is properly bonded.

Notice of this action is published on pages 2076-2077 of the Maryland Register, Volume 40, Issue 25, December 13, 2013. Final action on the proposal will be considered by the Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors, during a public meeting to be held on February 11, 2014, at 10:30 a.m., at 500 N. Calvert Street, Baltimore, MD 21202.

2015 AQB Criteria

The Appraiser Qualification Board ("AQB") adopted future changes to the Real Property Appraiser Qualification Criteria.

The following criteria changes are under the new criteria and will take effect on January 1, 2015:

  • Applicants for the Certified Residential and Certified General classifications will have to possess a Bachelor's degree or higher from an accredited college or university;
  • Applicants for the Licensed Residential classification will have to have successfully completed 30 semester hours of college-level education from an accredited college, junior college, community college, or university, or have an Associate's degree or higher from an accredited college, junior college, community college, or university;
  • All new candidates will be required to undergo a criminal background check;
  • Prohibition of repetitive continuing education in the same continuing education cycle;
  • Revisions to the Trainee Appraiser classification that will include a requirement to take a course oriented to the requirements and responsibilities of Trainee Appraisers and Supervisory Appraisers; and
  • New Supervisory Appraiser requirements.

While these changes do not take effect until January 1, 2015, it is important to be aware of the more immediate implications of these changes. Because the requirements for a licensed and certified residential certification include 24 months of experience and the requirements for a certified general classification include 30 months of experience, a person wishing to obtain one of the classification must obtain the license or certificate (not merely submit an application) no later than December 31, 2014. For more information about these changes, please refer to The Appraisal Foundation's website.

As the examination process can take several weeks or longer, the Commission advises appraisers to be mindful of these deadlines and take the appropriate action as soon as possible. The deadline for filing an examination application under the current criteria will be November 1, 2014.

Continuing Professional Competency for Home Inspectors Regulation

The Commission is proposing action under COMAR 09.36.08 Continuing Professional Competency which will establish the educational requirements that home inspectors must complete in order to demonstrate continuing professional competency as a condition of license renewal. This action is necessary pursuant to Business Occupations and Professions Article, Annotated Code of Maryland, §16-3A-07(e), which became effective July 1, 2011 and required the Commission to establish continuing professional competency requirements as a condition of home inspector license renewal.

Notice of this action is published on pages 732-734 of the Maryland Register, Volume 40, Issue 8, April 19, 2013. Final action on the proposal will be considered by the Commission of Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors, during a public meeting to be held on June 11, 2013, at 10:30 a.m., at 500 N. Calvert Street, Baltimore, MD 21202.

National Registry Fee Increase for Appraisers

Under the authority of the Dodd-Frank Wall Street Reform and Consumer Protection Act, the Appraisal Subcommittee (ASC) has approved a modification of the annual National Registry fee to $40 from the current $25.

All States are required to transmit to the ASC a roster of individuals who have received a State license or certificate to perform appraisals and a National Registry fee from those individuals for each year their name appears on the Registry. The fee increase goes into effect on January 1, 2012. All original and renewed licenses issued after January 1, 2012 will be charged a triennial National Registry fee of $120.

FHA Appraiser Roster

In December, 2008, in Mortgage Letter 2008-39, the U.S. Department of Housing and Urban Development revised the eligibility requirements for appraisers to qualify for placement and retention on the Federal Housing Administration Appraiser Roster. You may obtain additional information regarding the new FHA requirements that take effect on October 1, 2009, via the HUD website.

Anyone who is considering upgrading their license status to a certified residential or certified general must take the examination. You may download the Candidate Bulletin, which contains the examination requirements and filing instructions via the PSI website. Examination applications should be filed with our testing vendor, PSI, at least six weeks before the desired date for examination.

Verification of Work Experience Credit

Based on the 2008 AQB Criteria, under "Criteria Applicable to All Appraiser Classifications", the work experience log has been amended to require that each examination candidate provide a narrative that reflects: Description of work performed by the trainee/applicant; Scope of supervising appraiser's review; and Scope of supervising appraiser's supervision.

Effective immediately, the Commission will only recognize the newly revised work experience log that reflects the 2008 Criteria. Applicants for the examination may obtain the Candidate Information Bulletin, which contains examination materials, instructions and the work log, via PSI Exams.

Notice to Individuals Pursuing Licensure or Certification Regarding AQB-CAP Approval For Certain Courses

Effective 1/1/2008, applicants for licensure or certification by the Commission must meet the revised educational criteria outlined in the posting which follows on this webpage. If you are planning to take courses in pursuit of licensure or certification as a Real Estate Appraiser, making application after that date, please check to be sure that any course you plan on taking has been approved through the Appraiser Qualifications Board-Course Approval Program (AQB-CAP). Trainees seeking initial licensure or licensees and certified residential appraisers seeking to upgrade their status should all be mindful of the AQB-CAP approval requirement. Any course taken after 9/1/2006 to meet post 1/1/08 educational requirements must be AQB-CAP approved or it will not be acceptable to the Commission.

NOTICE TO ALL MARYLAND REAL ESTATE APPRAISERS IMPLEMENTATION OF NEW EDUCATION QUALIFICATION CRITERIA

In February, 2004, the Appraiser Qualifications Board (“AQB”) of the Appraisal Foundation adopted changes to the Real Property Appraiser Qualifications Criteria that will become effective on January 1, 2008. These changes represent the minimum national requirements that each state must implement for individuals applying for the Licensed, Certified Residential, and Certified General classifications of licensure. The revised AQB Real Property Appraiser Qualification Criteria apply to applicants applying for an original license or certificate. It would also apply to those individuals who are changing from one credential level to another.

The new revisions increase the education requirements for the Licensed classification from 90 to 150 hours; Certified Residential classification from 120 to 200 hours; and Certified General classification from 180 to 300 hours. The revised education criteria also includes requirements for college-level education for the Certified Residential and Certified General classifications. The revised education criteria for the Certified Residential classification requires an Associate degree or higher, or in lieu of a degree, a minimum of 21 college semester hours in specified coursework. The revised educational criteria for the Certified General classification requires a Bachelors degree or higher, or in lieu of a degree, a minimum of 30 college semester hours in specified coursework.

Detailed requirements by category are as follows:

Effective January 1, 2008, in order to meet the 75-hour requirement for a trainee license, an applicant shall, at a minimum, have completed the required Appraiser Qualifications Board core curriculum for the Trainee Education Requirements:

  1. Basic Appraisal Principles - 30 hours
  2. Basic Appraisal Procedures - 30 hours
  3. The 15-Hour National USPAP Course or its equivalent - 15 hours

To be eligible to sit for the licensed real estate appraiser examination, on and after January 1, 2008, an applicant shall have successfully completed 150 classroom hours of study.

Effective January 1, 2008, in order to meet the 150-hour requirement an applicant shall, at a minimum, have completed the required Appraiser Qualifications Board core curriculum for the Licensed Education Requirements:

  1. Basic Appraisal Principles - 30 hours
  2. Basic Appraisal Procedures - 30 hours
  3. The 15-Hour National USPAP Course or its equivalent - 15 hours
  4. Residential Market Analysis and Highest and Best Use - 15 hours
  5. Residential Appraiser Site Valuation and Cost Approach - 15 hours
  6. Residential Sales Comparison and Income Approaches - 30 hours
  7. Residential Report Writing and Case Studies - 15 hours

To be eligible to sit for the certified residential real estate appraiser examination, on and after January 1, 2008, an applicant shall:

  1. have successfully completed 200 classroom hours of study;
  2. hold an Associate degree, or higher, from an accredited college, junior college, community college or university; or
  3. in lieu of an Associate degree, an applicant shall have successfully completed 21 semester credit hours or its equivalent including having passed the following collegiate subject matter courses at an accredited college, junior college, community college or university:
      • English Composition;
      • Principles of Economics (Micro or Macro);
      • Finance
      • Algebra, Geometry, or higher mathematics;
      • Statistics;
      • Introduction to Computer-Word processing/spreadsheets; and
      • Business or Real Estate Law

Effective January 1, 2008, in order to meet the 200-hour requirement, an applicant shall, at a minimum, have completed the required Appraiser Qualifications Board core curriculum for the Certified Residential Education Requirements:

  1. Basic Appraisal Principles - 30 hours
  2. Basic Appraisal Procedures - 30 hours
  3. The 15-Hour National USPAP Course or its equivalent - 15 hours
  4. Residential Market Analysis and Highest and Best Use - 15 hours
  5. Residential Appraiser Site Valuation and Cost Approach - 15 hours
  6. Residential Sales Comparison and Income Approaches - 30 hours
  7. Residential Report Writing and Case Studies - 15 hours
  8. Statistics, Modeling and Finance - 15 hours
  9. Advanced Residential Applications and Case Studies - 15 hours
  10. Appraisal Subject Matter Electives - 15 hours

To be eligible to sit for the certified general real estate appraiser examination, on and after January 1, 2008, an applicant shall:

  1. have successfully completed 300 classroom hours of study;
  2. hold a Bachelors degree or higher from an accredited college or university; or
  3. in lieu of a Bachelors degree, an applicant shall have successfully completed 30 semester credit hours or its equivalent including having passed the following collegiate level subject matter courses from an accredited college, junior college, community college or university;
      • English Composition;
      • Micro Economics;
      • Macro Economics;
      • Finance;
      • Algebra, Geometry, or higher mathematics;
      • Statistics;
      • Introduction to Computer-Word processing/spreadsheets;
      • Business or Real Estate Law; and
      • Two elective courses in accounting, geography, ageconomics, business management, or real estate.

Effective January 1, 2008, in order to meet the 300-hour requirement, an applicant shall, at a minimum, have completed the required Appraiser Qualifications Board core curriculum for the Certified General Education Requirements:

  1. Basic Appraisal Principles - 30 hours
  2. Basic Appraisal Procedures - 30 hours
  3. The 15-Hour National USPAP Course or its equivalent - 15 hours
  4. General Appraiser Market Analysis and Highest and Best Use - 30 hours
  5. Statistics, Modeling and Finance - 15 hours
  6. General Appraiser Sales Comparison Approach - 30 hours
  7. General Appraiser Site Valuation and Cost Approach - 30 hours
  8. General Appraiser Income Approach - 60 hours
  9. General Appraiser Report Writing and Case Studies - 30 hours
  10. Appraisal Subject Matter Electives - 30 hours