News and Announcements
2012-2013 Edition of USPAP
The 2012-13 edition of USPAP will be valid for two years, effective January 1, 2012 through December 31, 2013. All appraisers are required to take the 7-hour USPAP update course every two years in order to remain compliant with USPAP guidelines. Although many appraisers will schedule the update course sometime during 2012-2013, all appraisers must be aware of the changes to USPAP and must comply with the revised standards, effective January 1, 2012. The Summary of Actions Related to Proposed USPAP Changes highlights the changes to the 2012-2013 edition of USPAP. A Preview of Changes to the 2012-13 USPAP is a video presentation of The Appraisal Foundation that explains the process and some of the revisions of the 2012-13 edition. The linked document and video are no substitute for the required recertification USPAP course and the new 2012-2013 USPAP manual. OREA encourages all appraisal licensees to enroll in the new 7-hour USPAP update course at their earliest opportunity.
Attention OREA Course Providers and USPAP Instructors
Effective January 1, 2012, only the 2012-13 versions of the USPAP basic and recertification courses may be offered. All USPAP instructors must successfully complete The Appraisal Foundation's online Instructor Recertification Course (IRC) between October 1, 2011 and March 31, 2012 in order to retain their instructor certification. Instructors are not permitted to teach the 2012-13 version of USPAP prior to completing this recertification process.
Students will not receive credit for 2012-13 USPAP classes if they were taught by a certified instructor who had not completed the IRC process.
In addition to the above recertification process, any USPAP instructor wishing to teach a distance offering of the 2012-13 USPAP must also possess the Certified Distance Education Instructor (CDEI) designation from International Distance Education Certification Center (IDECC). Students completing the distance education version of these courses cannot receive credit if the instructor was not CDEI designated.
Broker Experience Clarification*
California Code of Regulations, Title 10, section 3541(d) provides that the Office of Real Estate Appraisers may issue appraiser licenses (AL designation) to holders of current real estate broker licenses who are able to document 1,000 hours of residential real estate appraisal experience. However, the Appraiser Qualifications Board (AQB) of the Appraisal Foundation requires a minimum 2,000 hours of documented experience for the state license level. Consequently, AL licenses issued with the broker experience credit allowance are not in full compliance with minimum AQB requirements. Because of this discrepancy, the Appraisal Subcommittee classifies such licenses as non-AQB compliant on the National Registry. Some federally regulated lenders may not accept appraisals performed by those licensees. Those licenses, however, can become fully compliant with AQB requirements with a subsequent submission of an appraisal log documenting the necessary hours to achieve the minimum 2,000-hour requirement. AL licensees in this category must submit their additional experience for compliance on the Log of Appraisal Experience REA 3004 form.
* NOTE: Pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, effective July 1, 2013, OREA will no longer be authorized to issue AL licenses to real estate broker licensees that have not documented the AQB minimum requirement of 2,000 hours of residential real estate appraisal experience. Such licensees will not be listed on the Appraisal Subcommittee's National Registry, and will no longer be eligible to perform appraisals for federally related transactions.
Appraisal Subcommittee's Supplement to Bulletin 2011-01, dated August 11, 2011, regarding Mandatory AQB Criteria for State Licensed Appraisers.