SIOUX FALLS, S.D. (KELO) — It takes hundreds of hours of experience in Iowa and Minnesota to become an appraiser.
Appraisers are the people who determine the value of property.
Why do we need appraisers?
“An appraisal is important because it protects your investment. It’s there to ensure that, as the buyer, you don’t pay more than the home is actually worth. It’s there to keep home values from rising beyond feasible limits. It’s also important for securing financing,” Forbes said in July 2018 website story.
“To help them make prudent underwriting decisions, mortgage lenders rely on appraisers to provide thorough, accurate, and objective appraisal reports for reliable opinions of market value. The appraisal is used to judge the property’s acceptability for the mortgage loan requested in view of its value and marketability,” Fannie Mae said.
The two states have different categories of appraisers.
An associate or trainee appraiser in Iowa needs to fulfill these pre-requisites: 75 hours of specific coursework, an identified supervisor and must complete two required applications. The supervisor and associate must also complete the supervisor/associate course. The requirements are included in the state’s website.
A certified appraiser in Iowa needs additional requirements including a bachelor’s degree or higher from an accredited college or university. A state certified residential or certified general real estate appraising needs 2,500 hours for certified residential or 3,000 hours for licensure. The experience is under a mentor.
A candidate would need to complete the 2,500 or 3,000 hours in less than 24 months.
The hours of experience must be completed before taking an exam.
Minnesota has at least four categories for appraisers. The requirements are listed on the Minnesota Commerce Department’s website.
A trainee in Minnesota needs a prerequisite of 75 hours of specific coursework. Individuals must also complete the “Minnesota Supervisor/Trainee Appraiser Course” must be completed prior to submitting the application. The individual must also complete the required applications.
The next level is a licensed, residential property appraiser. The individual must have completed 150 hours of Minnesota-approved pre-licensing appraiser education, including the 15-hour National USPAP Course prior to submitting the application. Additional requirements including 1,000 hours of experience in fewer than six months and other courses.
The next category is certified residential real property appraiser. That requires 200 hours of pre-licensing education. The state requires 1,500 hours of experience completed in less than a year. There are additional application and course requirements.
A certified general real property appraiser needs 300 hours of pre-licensing education. The applicant must also possess a bachelor’s degree or higher from an accredited college or university. The individual must have 3,000 hours of experience in real property appraisal in less than 18 months. Half of that, or 1,500 hours must be non-residential work.