Department of Labor & Economic Growth

Bureau of Commercial ServicesLicensing Division

Real Estate Appraiser Real Estate Appraiser LicensingLicensing

Contents

Application Submission & Review ProcessCurrent AQB Qualification Criteria=Michigan Requirements2008 AQB Qualification Criteria=MI Requirements in 2008Continuing Education RequirementsRenewing a License/RelicensureUse of Limited Real Estate AppraisersMiscellaneous Updates

Application Submission & Review Process

Application SubmissionComplete and submit application to the department with application fee along with the following:

Course completion certificatesExperience logSample appraisal reports

Application Submission & Review Process (con’t)

Review ProcessUp to 30 days for first reviewAfter first review completed, random appraisal reports selected and requestedAfter random reports reviewed and approved, AMP notified of approval and exam approval letter mailed to applicant

Current AQB Qualification CriteriaMichigan REA Requirements

All levels of licensure18 years of age

Good moral character--having the ability, and likely to, serve the public in a fair, honest and open manner

Limited Real Estate Appraiser75 hours of appraisal prelicensure education including the 15-hour National USPAP course

Current AQB Qualification CriteriaMichigan REA Requirements (con’t)

State Licensed Real Estate Appraiser

90 hours of appraisal prelicensure education including the 15-hour National USPAP

2000 hours of appraisal experience including 1500 hours of residential experience

Successful completion of the state exam

Current AQB Qualification CriteriaMichigan REA Requirements (con’t)

Certified Residential Real Estate Appraiser

120 hours of appraisal prelicensure education including the 15 hour National USPAP and a course covering narrative report writing

2,500 hours of appraisal experience including 2000 hours of residential experience obtained over a minimum of 24 months

Successful completion of the state exam

Current AQB Qualification CriteriaMichigan REA Requirements (con’t)

Certified General Real Estate Appraiser

180 hours of appraisal prelicensure education including the 15-hour National USPAP, a course covering narrative report writing and at least 90 hours of non-residential coursework

3000 hours of appraisal experience including at least 1500 hours of non-residential experience obtained over a minimum of 30 months

Successful completion of the state exam

2008 AQB Qualification Criteria=MI Requirements in 2008

Implementation—Firm Date 1/1/08In order to meet current experience time minimums, experience must (have) commence(d) by:

Certified General—July 2005Certified Residential—January 2006State Licensed—January 2007

2008 AQB Qualification Criteria=MI Requirements in 2008 (con’t)

Applications received by December 31, 2007

Meet current education and experience requirementsSuccessfully complete current exam if completing exam prior to 2008; orSuccessfully complete 2008 National exam if completing exam after January 1, 2008

If exam is not completed within one year of approval, applicant must reapply and then meet 2008 criteria.

2008 AQB Qualification Criteria=MI Requirements in 2008 (con’t)

Applications received after December 31, 2007 must meet all 2008 requirements including:

EducationExperience

Applicants utilizing experience obtained as a limited appraiser under a state licensed appraiser will NOT qualify under 2008 criteria

National Exam

Michigan Real Estate AppraisersLimited

2195 active licensees

State Licensed2250 active licensees

Certified Residential270 active licensees

Certified General970 active licensees

Ltd

SL

CR

CG

Level of Licensure

Appraisal Education

Appraisal Experience

Exam

’08 Limited Real Estate Appraiser

75 hrs ed (see specific course requirements)

None None

’08 State Licensed Real Estate Appraiser

150 hrs ed (see specific course requirements)

*2,000 hours over a least 12 months with at least 1,500 hours residential

2008 National

’08 Certified Residential Real Estate Appraiser

*200 hrs ed (see specific course requirements)

*associate degree or in lieu of criteria

*2,500 hours over at least 24 months with at least 2000 hours of residential

2008 National

’08 Certified General Real Estate Appraiser

*300 hrs ed (see specific course requirements)

*bachelor degree or in lieu of criteria

*3,000 hours over at least 30 months with at least 1,500 hours of non-residential 

2008 National

’08 Limited real estate appraiser license  

Basic appraisal principles 30 hours

Basic appraisal procedures 30 hours

15-hour national USPAP course or equivalent 15 hours

TOTAL 75 hours

’08 State licensed real estate appraiser  

Basic appraisal principles 30 hours

Basic appraisal procedures 30 hours

15-hour national USPAP course or equivalent 15 hours

Residential market analysis and highest and best use 15 hours

Residential appraiser site valuation & cost approach 15 hours

Residential sales comparison and income approaches 30 hours

Residential report writing and case studies 15 hours

TOTAL 150 hrs

’08 Certified residential real estate appraiser  

Basic appraisal principles 30 hours

Basic appraisal procedures 30 hours

15-hour national USPAP course or equivalent 15 hours

Residential market analysis and highest and best use 15 hours

Residential appraiser site valuation and cost approach 15 hours

Residential sales comparison and income approaches 30 hours

Residential report writing and case studies 15 hours

Statistics, modeling and finance 15 hours

Advanced residential applications and case studies 15 hours

Appraisal subject matter electives 20 hours

TOTAL 200 hours

’08 Certified general real estate appraiser  

Basic appraisal principles 30 hours

Basic appraisal procedures 30 hours

15-hour national USPAP course or equivalent 15 hours

General appraiser market analysis & highest & best use 30 hours

Statistics, modeling and finance 15 hours

General appraiser site valuation and cost approach 30 hours

General appraiser sales comparison approach 30 hours

General appraiser income approach 60 hours

General appraiser report writing and case studies 30 hours

Appraisal subject matter electives 30 hours

TOTAL 300 hours

In lieu of an associate degree, an applicant for Certified Residential must successfully pass the following collegiate subject matter courses from an accredited college, junior college, community college or university for a total of 21 semester credit hours:

1. English Composition;2. Principles of Economics (Micro or Macro);3. Finance;4. Algebra, Geometry, or higher

mathematics;5. Statistics;6. Introduction to Computers—Word

Processing/spreadsheets; and7. Business or Real Estate Law.

In lieu of a bachelor degree, an applicant for Certified General must successfully pass the following collegiate subject matter courses from an accredited college, junior college, community college or university for a total of 30 semester credit hours:

1. English Composition;2. Micro Economics;3. Macro Economics;4. Finance;5. Algebra, Geometry, or higher mathematics;6. Statistics;7. Introduction to Computers—Word

Processing/spreadsheets;8. Business or Real Estate Law; and9. Two elective courses in accounting, geography, ag-

economics, business management, or real estate. 

Continuing Education Requirements

When con ed is not required:Limited Licensees—after 2nd renewal (This changes in 2008 to requiring 14 hours for the 2nd renewal.)Licensees upgrading—1st renewal after upgrade

28 hours total, including:7-hour National USPAP every cycle (2 years)2-hour Michigan Law every other cycle (4 years)

Continuing Education Requirements (con’t)

Information available on website: www.michigan.gov/appraisers

Check course approval statusCheck continuing education credit received

Reporting continuing educationEducation Sponsors ResponsibilityLicensee

FAX ATTN: Sharon Howell (517) 373-1044MAIL TO: DLEG/BCS/Licensing Division, Attn: Appraisers, PO Box 30018, Lansing MI 48909

Renewing a License/Relicensure

Renewal Fees ($250/$350)Deadline/Grace Period (9/29)Failure to meet continuing education requirementsRelicensure Requirements

Fees ($180/$230)14 hours of continuing education within last 12 months

Relicensure after January 1, 2008

Use of Limited Real Estate Appraisers

Administrative Rule 403(1)(a)—A limited real estate appraiser may perform appraisal services appraise properties that are not federally related transactions or real estate related financial transactions  

Section 2607(7) of the Michigan Occupational Code—An appraisal performed by a limited real estate appraiser (non-real estate related financial transaction) must be co-signed by the supervisor (state licensed, certified residential, or certified general)

Use of Limited Real Estate Appraisers (con’t)

Standards Rule 2-3—USPAP Certification--The names of individuals providing significant real property appraisal assistance who do not sign a certification must be stated in the certification.

Miscellaneous Updates

Increased board meetings to four per year

March 28, 2006June 20, 2006September 19, 2006December 5, 2006