Real estate appraisal providers are always looking for qualified candidates who have completed the various levels of training required to become a Certified Licensed Appraiser. After taking the basic instruction to become a trainee, you must spend time under the tutelage of a licensed appraiser while you continue with your education.

Your professional development in real estate appraisal should continue as you earn designations such as Certified Assessment Evaluator (CAE) or Personal Property Specialist (PPS). Take advantage of seminars and free home appraisal training put on by trade associations as you continue with your education. Watch for real estate appraisal information and training in a variety of places to round out your education.

1. Watch for online training in entry-level real estate appraisal methods.

2. Add advanced training in property appraisals to increase your marketability.

3. Participate in trade groups for property appraisal info that offer members professional development opportunities.

Action Steps
The best contacts and resources to help you get it done

Look for entry-level training from real estate appraisal solution websites

Find accredited training sites that will provide you with a basic understanding of the real estate market and the role of valuation and appraisal. Get the initial training you need to work as a trainee while you continue your training for your state license.

I recommend: Call Career webSchool for a free consultation before signing up for the online courses they offer. Get the proper licensing courses you need to have a successful appraiser career through Allied Schools.

Find advanced training for appraising real estate

Add training that will enhance your career in areas such as appraisal by earning other designations such as the Cadastral Mapping Specialist (CMS) or Assessment Administration Specialist (AAS) in addition to training for historic properties appraisal and advanced instruction in environmental issues or private appraisal methods. Add other training to enhance your career and make you available for a multitude of assignments.

I recommend: Join the International Association of Assessing Officers for access to a multitude of professional development opportunities. You can get home-based training programs and live seminars for continuing appraisal education at McKissock.

Join associations that give members additional property appraisal training opportunities

Most trade associations offer continuing education, professional development courses and information on real estate appraisal software developments for their members. Some groups can guide you to courses that will help you advance your career with specialized training such as land and site evaluation techniques as well as valuation capitalization strategies that you can offer your clients.

I recommend: Get niche training to make you more marketable through the American Society of Farm Managers and Rural Appraisers. You’ll find a slew of training opportunities while you make important connections through the American Society of Appraisers.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  While pursuing your property appraisal and management training, make sure you incorporate training on the latest software developments being put out for appraisers as appraisers are rapidly including the new tools in their everyday work.

Whether you’re in the market to buy or sell real estate, one factor remains constant—the form submitted to a lender justifying or negating the asking price of the property.

Real estate appraisal documents, compiled by licensed appraisers, evaluate the current condition of the property and (sometimes) the future value, based upon projected improvements.

When you understand the role property appraisals play in the buying and selling of real estate, you can maximize your investment potential and minimize your selling risk. The information you need includes:

1. Knowing where to locate an appraiser.
2. Understanding the different appraisal requirements depending upon the loan origination source.
3. Determining what factors will increase or decrease the value of your property.
4. Knowing how to spot real estate appraisal fraud.

Action Steps
The best contacts and resources to help you get it done

Find information on real estate appraisal for your area

You can leave it up to the lender to choose an appraiser for your property or you can request they use an appraiser of your choosing. In most cases, the buyer pays the fee at closing for the appraisal, although it's negotiable in the contract.

I recommend: AppraiserUSA provides a quick zip code search linking you with licensed appraisers around the nation. If you need an appraiser experienced in commercial investment properties, try E-appraiser for free and fee-based options. For a quick valuation (not an appraisal) of a property based upon recent market selling records, try US Search.

Understand property appraisals for rural development

Development in rural areas is encouraged by state and national programs in the form of rural development loans. Unique to communities with smaller populations, the appraisals performed here follow United States Department of Agriculture (USDA) standards. The property itself must qualify in order for the buyer to get his loan.

I recommend: Visit the USDA Rural Development site for access to the information required on multi-unit housing, residential homes and square foot appraisal forms before marketing investment property.

Know what to expect on property appraisals when the Federal Housing Administration is involved

Appraisals for Federal Housing Administration (FHA) loans are stringent. First-time homebuyers naturally look for the best deal they can find and that often comes from the federal government in shape of low-interest loans and little, or no, down payment. Despite the good intent, an FHA loan closing usually requires more time and the appraiser must be FHA certified. Know what to expect in advance.

I recommend: Understand what is involved in an FHA property appraisal by downloading an official form. Before you accept a contract by an FHA buyer on your property, look at possible loan delays. You can choose to reject an offer with FHA financing.

Be on the lookout for real estate appraisal fraud

Unfortunately, mortgage fraud can occur with the help of a dishonest appraiser who abuses his position and falsely inflates the value of a property in return for a fee. The scam benefits the selling parties and the buyer may not realize what happened until months or years pass. When you suspect an inflated property value, investigate the situation further.

I recommend: Check Mortgage News Daily for links to your state’s mortgage fraud authority. In addition, register a complaint against a national bank at the Office of the Comptroller of the Currency (OCC). If you feel a licensed real estate professional took part in a fraudulent appraisal scheme, contact your state’s governing board.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Property appraisals through the Veteran's Administration use the same format the FHA uses and the government guarantees the loan for the veteran.
• •  Call an appraiser for a preliminary market valuation of your home before you list it with a realtor. You will have to pay a fee but you will have a good idea what your property is worth.
• •  Take a preliminary real estate appraisal as a starting point in your buying or selling strategy. You can always ask more for your property.

Real estate appraisal information continually undergoes changes that you must keep up with to compete. As the landscape surrounding property appraisals continues to evolve and new regulatory rules are put in force regularly, you have to keep up with the most current information to be able to make the best business decisions.

Follow trends affecting the industry, such as market fluctuations and new real estate appraisal software. Read property appraisal publications that keep you updated with news and information about which companies are giving free home appraisal services as well as other marketing strategies that are being implemented within the industry. Keep a well-rounded flow of information coming in by looking for real estate appraisal news and trends in a variety of places.

1. Get daily email alerts that provide pertinent property appraisal info.

2. Subscribe to resources that cover real estate appraisal methods so you can employ the most current solutions.

3. Join associations for real estate appraisal firms that publish surveys and reports on important industry issues.

Action Steps
The best contacts and resources to help you get it done

Watch for breaking news that affects independent appraiser providers

Get email alerts, RSS feeds and industry newsletters that will send you news as it happens, the latest trend pieces and information about what the market comparison surveys are saying. Look for information about foreclosures and funding sources that will affect your clientele and eventually your own business.

I recommend: Appraisal Press will keep you updated on information on real estate appraisal that you need to remain competitive. The Appraisal Institute delivers regular news updates and information from both governmental and industry sources.

Read about the latest real estate appraisal solutions

Find websites that provide reports on market conditions and sites that offer appraisers an opportunity to discuss the current issues and how they can adjust. Look for the best information that can help drive your own business decisions with investigative reporting and research articles that take a deeper look into industry issues.

I recommend: HMS Associates collects news from around the country and displays it on their home page to deliver headlines and reports important to appraisers. Find headlines, detailed reports and commentary at AppraisersForum.com.

Participate in appraising real estate groups by subscribing to the organizations' publications

Other professionals in the field know the kinds of issues that are most important to your business, such as Fannie Mae rules, new requirements to get appraisal certifications and legislative issues before Congress. They can provide you with an inside track to news through newsletters, surveys and other information vehicles.

I recommend: Breaking news and trend analysis is available for members of the National Association of Independent Fee Appraisers. The NDC collects important data that appraisal professionals need to stay up to date on the industry activity.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Subscribe to a Realtor information provider in your area to keep up with local news that will affect your real estate appraisal business.

Real estate appraisals are complex calculations to determine the value of a piece of property. There are various types of appraisal services which have different effects on the property owner. Business valuation and the commercial property appraisal report are two commonly used appraisal terms in this sector. Businesses may also need to select an appraiser with an MAI designation.

Action Steps
The best contacts and resources to help you get it done

MAI Designation

The MAI designation is given to appraisers that have met high standards in education and have passed a comprehensive examination. These professionals are experienced in the evaluation of commercial, residential and industrial properties.

I recommend: The Appraisal Institute outlines the requirements for the MAI designation.

Fair market value

Fair market value is a term used heavily among real estate appraisers. In short, it is the value of a piece of property as defined by the recent sales in the immediate vicinity of the property. It is a common term used to describe the value of a property for sale.

I recommend: Investor Guide offers a look at the definition of fair market value and related terms.

Eminent domain

Eminent domain is the power of a government to take private property for public use. There is an appraisal done of the property to establish the fair market value which is paid to the property owner.

I recommend: Lawyers.com provides a comprehensive description of eminent domain and defines what happens during the appraisal process.

Condemnation appraisal

A condemnation appraisal may be requested by a local, state or federal government when a property is to be condemned. In this type of appraisal, the fair market value of the property is estimated using a methodical process.

I recommend: The Ovington Appraisal Service outlines the process of condemnation appraisal.

Business valuation

A business valuation may be necessary for several reasons. This appraisal process may be needed to determine the value of a business for investment purposes. It may also be needed if the business will be sold or made part of an estate. These are often specialized services done by corporate appraisers, focusing on the real estate and income aspects of the business.

I recommend: Fair Market Valuations offers a look at business valuation and the various methods that may be used to determine the fair market value of a business.

Commercial property valuation report

The commercial property valuation report outlines the value of a commercial business or property, based on the physical location or income of the business.

I recommend: Commercial Property Appraisal provides a look at the types of commercial property valuation reports.