7 PROPOSED ADMINISTRATIVE RULES

 

 

DE P ARTMEN T OF CONSU MER AND INDUS TRY SER VICES DIRE CTOR’S OFF ICE

RE AL ES TATE APP RAISERS

 

Filed with th e Secretar y of Stat e on

These ru les tak e effect 7 days after filing with th e Secretar y of Stat e

 

(By auth ority con ferr ed on th e dep artm ent of con sum er an d industr y services by sections 205 , 308 , 2605 , an d 2617 of 1980 PA 299 , MCL 339 .205 , 339 .308 , 339 .2605 an d 339 .2617

an d Execut ive Reorgan izat ion Order No. 1996 -2, MCL 445 .2001 )

 

R  339 .23101 ,  R  339 .23103 ,  R  339 .23201 ,  R  339 .23203 ,  R  339 .23207 ,  R  339 .23301 ,  R

339 .23303 ,  R  339 .23307 ,  R  339 .23309 ,  R  339 .23311 ,  R  339 .23317 ,  R  339 .23319 ,  R

339 .23321 ,  R  339 .23323 ,  R  339 .23401 ,  R  339 .23403 ,  an d  R  339 .23405  of th e  Michigan

Administrat ive Code ar e am ended , an d R 339 .23326 is added to th e Code, as follows :

 

P ART 1. GENER AL P ROVISIONS

 

R 339 .23101  De finitio ns .

Rule 101 . (1) As used in th ese ru les:

(a)    "Act " mean s 1980 PA 299 , MCL 339 .101 et seq., an d kn own as th e occu pat iona l  code . (b) "Boar d " m e an s th e boar d of r e a l es tat e a pp ra ise r s .

(b)  "Licensee" mean s an individua l who is licensed p ur s uant  t o th e p r ovis ion s of UN DER art icle 26 of th e act, including a real estat e valuat ion spe cialist, A LIMIT ED REAL ESTATE   APP RAISER,   a   stat e   licensed    real    estat e    appra iser,    A   CERTI FIED RE SID EN TIAL REAL E STATE APP RAIS E R, or a s tat e-cert ified GENE RAL real estat e appra iser.

(c) "Mark et ana lysis," as per form ed by an appra iser, mean s stu dies of a defined real estat e mark et an d th e curr ent an d pr oject ed econ omic factors that cou ld influence th e use or value of classes of real propert y with in that mark et, with out esta blishing th e value of a specific propert y with in that  mark et.

(D)(e) "Mark et ana lysis as per form ed by a real estat e licensee” mean s th e activity defined in section 2601 (a )(i) AND (ii)  of  th e  act  AND  MEANS  ANALYSIS  SOLELY  FOR  THE PU RPOSE OF ESTABLIS HING POTEN TIAL SALE, PU RCHASE, OR LISTI NG PRIC E OF REAL PROPE RTY OR THE REN TAL RATE OF REAL PROPE RTY AND IS NOT FOR THE PU RPOSE OF EVALUATING A PROPE RTY FOR MORTG AGE LEN DERS IN THE PRIM ARY OR SECONDARY MORTG AGE MARKET.

(E) AUNIF ORM STANDARDS OF  PROFE SSION AL  APP RAISAL  PRACTIC E”  OR “USP AP” MEANS THE UNIF ORM STANDARDS OF PROFE SSION AL APP RAISAL PRACTIC E,    PU BLIS HE D    BY    THE    APP RAISAL    FOUN DATIO N,    EFFE CTI VE

 

 

J ANU ARY 1, 2002 . COP IE S OF THE USP AP 2002 E DITIO N ARE AVAILABLE AT A COST OF $30 .00, PLUS $5.50 FOR SHIPP ING ,  AT  THE  TIM E  OF  ADOPTIO N  OF THE SE RULES, FROM THE APP RAISAL FOUN DATIO N, 1029 VERMONT AVENUE NW, SUIT E 900 , WASHINGTON DC 20005 -3517 ; MAIL ORDERS: P.O. BOX 96724 , WASHINGTON D.C. 20090 -6734 , PH ONE : TOLL -FREE 800 /805 -7857 , or 240 /864 -0100 , INT ERNE T ADDRESS: WWW. APP RAISALFOUN DATIO N.ORG. THE USP AP 2002 EDITIO N CAN BE REVIEWED AT OR PU RCHASED FROM THE DEP ARTMEN T OF CONSU MER AND INDUSTR Y SERVICES, BUREAU OF COMM ERCI AL SERVICES, 2501 WOODL AKE CIRCL E, OKEMOS , MIC HIGAN 48864 , PH ONE : 517 /241 -9236 , AT A COST AS OF THE TIM E OF ADOPTIO N OF THE SE RULES OF $50 .00 , PLUS $11 .00 ORDERING AND SHIPP ING COSTS .

(2) As u sed in se ct ion 2633 (c) of th e a ct , "ow n e r " m e an s eith e r th e curr e nt or p r ospe ct ive ow n e r of th e p r ope rt y.

(2)(3) "Real estat e coun se lin g "CONSU LTI NG”, as used in sections 2613 , 2614 , an d 2615 of th e act, IS THAT FUN CTIO N OR FUN CTIO NS DESCRIB ED IN STANDARDS 4 AND 5

m e an s r e a l es tat e con s u lt in g a s des cr ibe d in OF th e un iform stan dar ds  of pr ofessi ona l appra isal  pra ctice.      C on s u lt in g  ge n e ra lly in clu des  s tu d ie s  of r e a l  p r ope rt y  oth e r  than es t imat in g va lu e an d ma y in clu de lan d ut iliz at ion s tu d ie s ; h igh es t an d bes t u se ana lyses ; mark e ta bili t y,  fe a s ibili t y,  or  in ve s tm e nt  s tu d ie s ;  or  oth e r  r ese ar ch -r elat ed  s tu d ie s ,  a s p r ese nt ed in a w r itt e n d ocum e nt .

(3)      AA COURSE  COVERING  THE  UNIF ORM  STANDARDS  OF  PROFE SSION AL APP RAISAL PRACTIC E” AS USE D IN SECTIO N 2627 (5) AND “THE UNIF ORM STANDARDS OF APP RAISAL  PRACTIC E  AND  ETHICS ”  IN  SECTIO NS  2611 (1), 2613 (A)(XV), 2614 (B)(XV), AND 2615 (B)(XV) OF THE ACT MEANS THE 15-HOUR NATIO NAL USP AP COURSE OR THE 7-HOUR NATIO NAL USP AP UP DATE SEMINAR, OR THE IR EQUI VALEN T, AS REQUI RED BY THE AQB REAL PROPE RTY APP RAISER QUALIFICATIO N CRIT ERIA, ADOPTED ON OCTOB ER 27 , 2000 , AND EFFE CTI VE J ANU ARY 1, 2003 .

(4)   Term s defined in art icles 1 to 6 an d art icle 26 of th e act ha ve th e sam e mean ings when used in th ese ru les.

 

R  339 .23103   BOARD  MEE TINGS.   C onduct   o f  pub li c  mee ti ngs ; "chai r pe r son "  de f i ned .

Rule 103 . ALL BOARD MEE TINGS ARE  CONDUCTED IN  ACCORD ANCE  WITH 1976  PA 267 , MCL  15 .261  ET SEQ., KNOWN  AS  THE  OPEN  MEE TINGS  ACT, AND

ARE OPEN TO THE PU BLIC .  (1) F or th e p ur p ose of th is ru le, "cha ir pe r s on " m e an s th e pe r s on w h o is auth or ize d t o con ve n e an d m ode rat e a m ee t in g of th e b oar d or an y comm itt ee of  th e  b oar d  an d  a ls o  m e an s  an y  oth e r  pe r s on   w h o  a ct s  t e m p orar ily  a s  con ve n or  or m ode rat or .

(2) ) Ea ch pe r s on w h o is p r ese nt  at  a  p u blic  m ee t in g  s ha ll  be  p r ovided  a  r e a s ona ble opp ortun it y t o a dd r ess th e p u blic m ee t in g on an a ge n d a it e m or on a t op ic w h ich is r elev ant  t o th e p u blic b od y b ut  w h ich  is n ot  on  th e a ge n d a  if th e pe r s on  mak es a  r eq u es t  t o th e b oar d 's offices or t o th e dep artm e nt be for e th e m ee t in g or t o th e cha ir pe r s on  be for e th e con clu s ion of th e m ee t in g.

 

 

(3) ) A gr ou p of 5 or m or e pe r s on s ma y be a sked t o give a d van ce n ot ice t o th e cha ir pe r s on or th e dep artm e nt of it s int e nt ion t o att e n d a m ee t in g s o that an e ffort ma y be ma de t o p r ovide a deq uat e sp a ce .  S u ch a d van ce n ot ice is n ot r eq u ir ed .

(4) ) T h e cha ir pe r s on s ha ll d o a ll of th e followin g:

(a) ) C on d u ct th e p u blic p art icip at ion  p ort ion  of th e  m ee t in g in  an  or de r ly an d  de cor ou s fa s h ion .

(b) ) With in th e t im e lim it s a va ila ble , r e cogn ize e a ch pe r s on wis h in g t o spe ak .

(c)Allow for p u blic comm e nt on e a ch a ge n d a it e m an d a llocat e a spe cific t im e on th e a ge n d a for ge n e ra l p u blic comm e nt s .

(d)) E xclu de a pe r s on fr om th e m ee t in g on ly for a b r e a ch of th e pe a ce a ctua lly comm itt ed at th e m ee t in g.

(5) ) T h e cha ir pe r s on ma y d o an y of th e followin g:

Lim it th e num be r of pe r s on s w h o ar e a d m itt ed t o th e m ee t in g r oom if n ecess ar y t o com p ly with p u blic s a fe t y la ws an d r egu lat ion s .

(b) ) Te m p orar ily r e cess an d p r om p t ly r e con ve n e th e m ee t in g in a lar ge r  m ee t in g r oom if m or e sp a ce is n e cess ar y.

(c) I m p ose r e a s ona ble lim itat ion s on th e t im e a llott ed for p u blic comm e nt s .

(d)) I n q u ir e a s t o th e int e r es t or int e r es t s , if an y, r ep r ese nt ed by a pe r s on w h o a dd r esses th e m ee t in g.

(e) To p r ese r ve th e r ight s of a ll p art ie s , p r oh ibi t a m e m be r of th e p u blic fr om a dd r essi n g th e m ee t in g  on  th e  s u b je ct  of  a  cont es t ed  ca se  that   is  pe n d in g  be for e  th e  b oar d  unt il  a d isp os it ion of th e ca se ha s bee n vot ed u p on by th e b oar d .

 

P ART 2. LICENS ING

 

R 339 .23201  Accepta ble app raisa l expe ri ence  gene rally.

Rule 201 . (1) Credit for appra isal expe rience sha ll be based on th e actua l per forman ce of appra isals. The dep artm ent sha ll not grant expe rience credit to an applicant solely on th e basis of tota l  hour s  of  employment  in  an  appra isal  firm  or  oth er  ent ity.  The  actua l per forman ce of appra isals includes t ime spe nt in such pr ofessi ona l activities as persona lly inspe ct ing real propert y, con ducting rese ar ch an d developing mat erials support ing  th e appra isal, prepar ing th e cont ent of appra isal report s, an d prese nt ing th e appra isal to th e client . It does not include t ime spe nt in th e solicitat ion of business , negotiat ion an d development of client agreement s, clerical ta sks , or business a ccount ing an d colle ct ions, even th ough such ta sks ma y  be  appropriat ely  billed  to a  client  as  a  necess ar y  part  of per form ing th e appra isal.

(2)    Credit sha ll not be given for per form ing more than 40 hour s per week of pr ofessi ona l expe rience, un less specific expe rience, which is verified by a supervisor, can be provided to demonstrat e that an individua l work ed more hour s in that week. However, expe rience in excess of 40 hour s a week that is obta ined befor e J anuar y 1, 1992 , ma y be verified by a supervisor's a ffida vit.

(3)    HOURS CREDIT ED PE R APP RAISAL SHALL BE CREDIT ED BASED UP ON THE NU MBER OF HOURS SPEN T ON EACH  ASSIGNM EN T,  NOT  TO  EXCEE D  THE NU MBER OF HOURS IN THE FOLLOWI NG TABLE:

 

 

PROPE RTY TYPE S	MAX.  ALLOWABLE HOURS
SINGL E FAMILY RESID EN TIAL	8
RESID EN TIAL MULTI FAMILY (2 TO 4 UNI TS)	20
RESID EN TIAL MULTI FAMILY (5 TO12 UNI TS)	36
RESID EN TIAL MULTI FAMILY (13 OR MORE UNI TS)	40
RESID EN TIAL LOT	6
SUBDI VISIONS	40
RURAL RESID EN TIAL LAND (IMPROVED 20 ACRES OR LESS)	16
RURAL RESID EN TIAL LAND (VACANT 20 ACRES OR LESS)	12
AGRIC ULTURAL FARM OR FOREST LAND	40
INDUSTRI AL (INDUSTRI AL PARK, BUSINESS CAMPU S, WAREH OUSIN G, MANUF ACTURING PLANT, ETC.)	40
INDUSTRI AL PARK OR BUSINESS CAMPU S LAND (VACAN T)	24
MULTI FAMILY LAND (VACANT)	24
COMM ERCIAL PROPE RTI ES:            SINGL E TEN ANT	40
MULTI TEN ANT
(IMPROVED OFF ICE BLDG , RETAIL STOR E, RESTAURANT, SERVICE STATIO N,
BANK, DAYCARE CEN TER, NU RSI NG HOME, ETC.)
	80
COMM ERCI AL LAND (VACAN T)	24

 

T o m ee t th e r eq u ir e m e nt of th e a ct that  expe r ie n ce be com p le t ed ove r 2 ca le n d ar ye ar s , an  a pp licant 's r e cor d s ha ll s h ow expe r ie n ce d at ed in n ot le ss than 2 d iffe r e nt ca le n d ar ye ar s .

(4)   Qua lifying expe rience in per form ing real estat e appra isals on or after J anuar y 1, 1992 , sha ll be obta ined while th e individua l is licensed as a real  estat e  valuat ion  specialist, LIMIT E D RE AL E STATE APP RAIS E R, CE RTI F IE D RE SID EN TIAL RE AL E STATE APP RAISER, or stat e licensed real estat e appra iser or is properly exempt from licensing.

(5) ) An  in d ivi d ua l  w h o w a s  e n ga ge d  in  ob ta in in g  expe r ie n ce  in  pe r form in g  r e a l  es tat e a pp ra is a ls s ha ll be dee m ed t o ha ve bee n an a pp ra ise r a s r eq u ir ed by se ct ion 2621 (e ) of th e a ct if h e or s h e m ee t s both of th e followin g r eq u ir e m e nt s :

(a)  ) T h e expe r ie n ce w a s ga in ed be for e J anuar y 1 , 1992 .

T h e in d ivi d ua l w a s lice n sed , or n ot r eq u ir ed t o be lice n sed , a s se t forth in th e p r ovis ion s of R 339 .23205 .

(5 ) A LIMIT E D R E AL E ST AT E APP R AIS E R S H ALL B E SUB J E CT TO DIR E CT

SU PE R VISION  B Y  A   SU PE R VISING   APP R AIS E R   W H O   S H ALL   B E   ST AT E LIC EN S E D OR C E RTI F I E D IN GOOD  ST AN DI N G .T HE SU PE R VISING  APP R AIS E R S H ALL B E  R E S P O NSI BL E  F OR T HE  TR AINING  AN D DIR E CT SU PE R VISION  O F

 

 

T HE LIMIT E D R E AL E ST AT E APP R AIS E R B Y ACC EP TI N G R E S P O NSI BILIT Y F OR T HE APP R AIS AL R EP ORT B Y SIGNING AN D C E RTI F YING T HE  R EP ORT  IS  IN COM P LI AN C E WIT H T HE UNIF ORM ST AN D ARDS O F P RO FE SSION AL APP R AIS AL P R ACTIC E B Y DOI N G BOT H O F T HE F OLLOWI N G :

(A) REVIEWING THE APP RAIS E R TRAIN EE APP RAISAL REP ORT OR REP ORTS .

PE RSO NALLY INS PE CTI NG EACH APP RAIS ED PROPE RTY WITH THE  LIMIT ED RE AL E STATE APP RAIS E R UN TIL THE SU PE RVISING APP RAIS E R DE TE RMI NES THE LIMIT ED APP RAIS ER IS  COM PE TEN T  IN  ACCORD ANCE  WITH  THE COMPE TEN CY PROVISION OF THE UNIF ORM STANDARDS OF PROFE SSION AL APP RAISAL PRACTIC E (USP AP) FOR THE PROPE RTY TYPE .

SEP ARATE LOGS SHALL BE MAINT AIN ED FOR EACH SU PE RVISING APP RAIS ER, AND  EACH  LOG  SHALL  CONTAIN   THE   SIGN ATURE,   THE   LIC EN SE   OR CERTI FICATIO N   NU MBER,   AND   THE    LEVEL    OF    LIC EN SUR E    OF    THE SU PE RVISING    APP RAISER.                 (SEE ALSO R 339 .23401  FOR  INS PE CTIO N REQUI REMEN TS FOR FE DERALLY RELATED TRANS ACTIO NS .)

 

R 339 .23203   App raisa l expe ri ence ; satis facto ry ev id ence .

Rule 203 .  (1) For an applicant 's expe rience hour s to be a ccep ted, th e expe rience sha ll be in com plian ce with ALL OF th e followin g requirement s, as applicable:

(a ) F or a can d id at e w h o p r ese nt s expe r ie n ce a s an a ssess or , s u pe r vised a ssess in g expe r ie n ce h our s s ha ll be ve r ifie d by th e s u pe r vis in g s tat e ce rt ifie d a ssess or .

(A)  (b ) F or a can d id at e w h o p r ese nt s expe r ie n ce a s an a pp ra ise r , Appra isal expe rience sha ll be demonstrat ed by copies of report s an d file memoran da. A  deta iled  log  WH ICH INCLUD ES THE DATE, PROPE RTY ADDRESS, PROPE RTY TYPE , AND A CLEAR INDIC ATIO N OF THE TIM E  DEVOTED TO EACH  APP RAISAL sha ll be submitt ed to th e dep artm ent .  w h ich  in clu des  th e  d at e ,  p r ope rt y  a dd r ess ,  p r ope rt y  t ype ,  an d  a  cle ar in d icat ion of th e t im e de vot ed t o e a ch a pp ra is a l. The informat ion in th e log

sha ll be capable of being docum ent ed by work sam ples, or AND SHALL INCLUD E an a ffida vit of a supervisor, IF u p on a requestE D  by th e dep artm ent .  IF A SU PE RVISOR IS NOT AVAILABLE, IF THE APP LIC ANT WAS THE SU PE RVISOR , OR IF THE

APP LIC ANT WAS SELF-EMPLOYED, THEN THE DEP ARTMEN T MAY REQUI RE AN AFF IDAVIT FROM A PROFE SSION AL COLL EAGUE OR FROM AN INSTITUTION

FOR WHOM THE WORK WAS PE RFORMED TO SU PP ORT THE DOCUMEN TATIO N OF THE APP LIC ANT.

(B)      (c) If docum entat ion p ur s uant t o th e p r ovis ion s of UN D E R subdivisi on (b) (A) of th is SUBRUL E ru le is not available an d th e appra isal expe rience was obta ined befor e J anuar y 1, 1992 , th e hour s of supervised expe rience sha ll be verified by an a ffida vit from th e applicant 's supervisor. The a ffida vit sha ll include, BUT NOT BE LIMIT ED TO, all of th e followin g in format ion:

(i) A s tat e m e nt that th e s ign e r ha s pe r s ona l kn owledge of th e a pp licant 's work .

(ii)   The applicant 's employment history with that  supervisor or employer.

(iii)    An explanat ion regar ding why th e actua l log an d work report s ar e not available.

(iv)    The num ber an d types of appra isal report s as report ed on th e license applicat ion an d a stat ement that  th e num ber of hour s of appra isal expe rience ar e a ccurat ely represe nt ed.

 

 

(v)      A  stat ement  that  th e  appra isal  report s  com plied  with   th e  un iform   stan dar ds  of pr ofessi ona l appra isal pra ct ice or th e equivalent appra isal stan dar ds that were in effect at th e t ime th e appra isals were per form ed.

(vi)   The signatur e of th e individua l who com pleted th e a ffida vit an d th e individua l's license num ber an d type of license, if applicable, or a stat ement that th e signer is exempt from licensur e an d th e reason for th e exemption.

(2)        AN APP LIC ANT FOR  A  LIC EN SE  SHALL  DEMONS TRATE  EXPE RIEN CE GAIN ED IN ALL OF THE FOLLOWI NG AREAS OF THE APP RAISAL PROCESS:

(a)    ) DEF INING THE APP RAISAL PROBL EM.

(b)   GATHE RING AND ANALYZING DATA.

(c)    APP LYING APP ROPRIATE VALUE APP ROACHE S AND METHODOLOG Y. ARRI VING AT AN OPINION  OF VALUE .

REP ORTI NG THE OPINION  OF VALUE .

(d)) I f th e work w a s n ot an a pp ra is a l, oth e r t ypes of work , s u ch a s fe a s ibili t y s tu d ie s , mark e t ana lys is  pe r form ed  by  an  a pp ra ise r  a s   de fin ed   in   R   339 .23101 (l)(d ),   r e a l   es tat e coun se lin g(CO NSU LTI N G ), an d h igh es t an d bes t u se ana lys is , s ha ll be in com p lian ce with th e  un iform  s tan d ar ds  of  p r ofessi ona l  a pp ra is a l  p ra ct ice  or  th e  eq u iva le nt  a pp ra is a l s tan d ar ds that we r e in effect at th e t im e th e expe r ie n ce w a s ob ta in ed .

(e)   I f a s u pe r vis or is n ot a va ila ble , if th e a pp licant  w a s th e s u pe r vis or , or if th e a pp licant w a s se lf-e m p loye d , th e a pp licant s ha ll be a ble t o ve r ify expe r ie n ce with cop ie s of a pp ra is a l  r ep ort s or file m e m oran d a . T h e dep artm e nt ma y r eq u ir e an a ffid a vit fr om a p r ofessi ona l colle a gu e  or  fr om  an  in s t itut ion  for  w h om   th e  work  w a s  pe r form ed  t o  s u pp ort   th e d ocum e ntat ion of th e a pp licant .

(3)     (f) Docum ent s that support th e in format ion that is conta ined in an applicat ion, an applicant 's expe rience log, or an a ffida vit sha ll be ma inta ined for not less than 5 year s from th e dat e of applicat ion.

 

R 339 .23207  Market  ana lysis  by rea l es tat e li censees  ; acceptab le expe ri ence .

Rule 207 .  Mark et ana lysis as per form ed by a real estat e licensee a s de fin ed in

R 339 .23101 (l)(e ) ma y be included in th e expe rience required IN R 339 .23203 , of an

in d ivi d ua l seek in g lice n s ur e a s a r e a l es tat e a pp ra ise r if both of th e followin g con ditions ar e met:

(a) The applicant provides pr oof that he or she was properly licensed as a real estat e broker, ass ociat e broker, or salespe rson when th e real estat e mark et ana lysis was

per form ed.

(b) ) T HE AN AL YSIS IS P R EP AR E D IN CO NF ORMIT Y WIT H ST AN D ARDS 1 AN D 2 O F USP AP , AN D T HE INDI VIDU AL C AN D E MO NS TR AT E T H AT HE OR S HE IS USIN G SIMIL AR  T E C HN IQU E S   AS   APP R AIS E RS   TO   VAL UE   P RO PE RTI E S   AN D EFFE CTI VE L Y U TILI ZE S T HE APP R AIS AL P ROC E SS . The applicant is able to demonstrat e that th e real estat e licensee con ducted rese ar ch int o th e selling or renta l price, or both , of com para ble propert ies, viewe d th e subject propert y an d com para ble propert ies, an d prepar ed a docum ent prese nt ing th e rese ar ch con ducted an d a con clusion as to th e sale, pur cha se, list ing, or renta l price of th e specific propert y. Un less an applicant can provide docum entat ion a ccep ta ble to th e dep artm ent of specific additiona l hour s in th e preparat ion

 

 

of a  mark et  ana lysis  as  per form ed  by  a  real  estat e  licensee,  not  more  than   2  hour s  of expe rience credit sha ll be given for each propert y represe nt ed.

 

P ART 3.    APP RAISER EDU CATIO N GENER AL P R OVI S IO NS

 

R 339 .23301  De finitio ns .

Rule 301 .  As used in th is part :

(a ) "Clock h our " m e an s a pe r iod of n ot le ss than 50 m inut es of a ctua l cla ss r oom in s tru ct ion ,  n ot in clu d in g out s ide a ss ignm e nt s an d r e a d in g.

(A)(b) "Cont inu ing educat ion cour se" mean s a cour se that is represe nt ed as fulfilling th e requirement s of section 2627 of th e act.

(B)(c) "Coor dinat or" mean s an individua l who assum es, on beha lf of a cour se sponsor, th e resp onsibili ty pur suant to th ese ru les for offer ing cour ses relat ing to th e activities of real estat e appra isers.

(C)(d ) "Instru ctor" mean s an individua l who is deemed qua lified by th e sponsor to instru ct stu dent s in prelicensur e or cont inu ing educat ion cour ses an d who provides instru ct ion directly an d int era ctively in fa ce-t o-fa ce conta ct with stu dent s. An instru ctor ma y ut ilize guest spe ak ers, but  sha ll  bear  ultimat e  resp onsibili ty  to th e  sponsor  for  th e  qua lity  of in format ion impart ed to stu dent s.

(D)(e) "Pr elicensur e cour se" mean s a cour se that is represe nt ed as fulfilling, in whole or in part , th e requirement s of section 2611 , 2613 (a), 2614 (B) or 2615 (b) of th e act.

(E)(f) "Sponsor" mean s an ent ity which meets th e requirement s of section 2617 (2) of th e act an d which offer s or proposes to offer eith er prelicensur e appra iser educat ion or cont inu ing educat ion.

 

R 339 .23303  Ed uca tio n ; submission   of documentation    by li cense  app li cants .

Rule 303 . (1) In submitt ing docum entat ion of prelicensur e educat ion obta ined befor e th e effect ive dat e of th e act or from cour se sponsors that ar e not approved pur suant to th ese ru les, th e applicant sha ll show that th e cour se was des igned to teach individua ls to per form appra isals or to au gment a basic kn owledge of appra isal with genera l in format ion that th e instru ctor th en relat es to th e per forman ce of appra isals.

(2)    Genera l educat iona l cour ses , such as business , econ omics, stat istics, or law, or genera l cour ses in real estat e or real estat e law will not be con sidered equivalent to

approved prelicensur e educat ion un less a relat ionship to appra isal is shown in th e cour se des cription, syllabus, or curr iculum out line to th e extent that not less than 15 clock h our s CLASSROOM HOURS in th e cla ss r oom were specifically relat ed to appra isal. clock h our s CLASSROOM HOURS of credit sha ll only be grant ed for hour s that ar e spe cifically relat ed to appra isal.

(3)   An applicant 's submission of docum entat ion of prelicensur e educat ion or a submission of docum entat ion of cont inu ing educat ion by a licensee sha ll include all of

th e followin g in format ion:

(a) The dat e an d place th e cour se was tak en.

(b)  The nam e of th e sponsor an d th e sponsor's curr ent address or telep hone num ber, if available.

 

 

(c) A copy of th e cour se out line, syllabus, deta iled curr iculum , or similar in format ion.

(d) A copy of th e cert ificat e of com pletion.

(e) The num ber of clock h our s CLASSROOM HOURS spe nt in th e cour se. TO H AVE THE CONTINUIN G EDUCATIO N HOURS APP ROVED BY THE DEP ARTMEN T, CONTINUIN G  EDUCATIO N  COURSE  SPONS ORS   UTILI ZING   DIST ANCE LEARNIN G SYSTEMS SHALL HAVE AN ACCEP TABLE METHOD OF EN SURING THAT THE STUD EN T ACHIEVES AN EQUIVALEN T TO CLASSROOM HOURS.

(4)   In submitt ing docum entat ion of educat ion from institut ions of higher educat ion that ar e auth orized to grant degrees which con fer credit hour s rath er than clock h our s CLASSROOM HOURS , 1 credit hour sha ll be equivalent to 10 clock h our s CLASSROOM HOURS of actua l cla ss r oom instru ct ion FOR TERM CREDITS , AND 15 CLASSROOM HOURS OF INSTRUCTION  FOR SEMESTER CREDITS .

(5)    Docum entat ion to support in format ion on th e applicat ion for cour se approval sha ll be ma inta ined for not less than  5 year s from th e dat e of th e applicat ion.

(6)   To assist applicant s, th e dep artm ent sha ll ma inta in a list of cour ses that ar e a ccep ta ble to th e DEP ARTMEN T. boar d .

 

R 339 .23307  Conduct  of cou rses ; changes   in cou rses .

Rule 307 . (1) A cour se sponsor sha ll com ply with all of th e followin g requirement s:

(a)      A  cour se  sha ll  not  be  represe nt ed  to  licensees   or  to  th e  public  as  meeting  th e requirement s of th e act AND THE SE RULES unt il it ha s been approved by th e

departm ent .  a s m ee t in g th e r eq u ir e m e nt s of th e a ct an d th ese ru le s .

(b)     Solicitat ion  of organ izat iona l  membership, employment , or  business -relat ed  products an d services is prohibited dur ing qua lifying cour se clock h our s CLASSROOM HOURS .

(c)A sp on s or  s ha ll a pp oint  an  in d ivi d ua l a s coor d inat or  for  th e sp on s or 's  cour ses .   T h e coor d inat or s ha ll be r esp on s ible for s u pe r vis in g th e p r ogram of cour ses an d

a ss ur in g com p lian ce with th e code an d th ese ru le s . T h e coor d inat or n eed n ot be a lice n see .

(d)  Ea ch cour se s ha ll be tau ght by an in s tru ct or w h o m ee t s th e r eq u ir e m e nt s of

R 339 .23309 (2 ). A sponsor sha ll perm it only an instru ctor who meets th e requirement s of R 339 .23309 (2) to teach th e cour se.

(e) Ea ch stu dent sha ll be provided with a writt en syllabus that  conta ins, at a minimum , all of th e followin g in format ion:

(i)   The cour se t it le.

(ii)    The t imes an d dat es of th e cour se offer ing.

(iii)     The nam e, business address , an d telep hone num ber of th e cour se coor dinat or an d th e nam e of th e instru ctor.

(iv)     A deta iled  out line of th e subject  matt er  to be  cover ed  an d  th e estimat ed  t ime to be devoted to each subject.

(f)   A cour se sha ll not be credited for more than 10 clock h our s of classr oom HOURS OF instru ct ion in 1 calendar day. Calculat ions of classr oom hour s for a cour se sha ll not include an y of th e following:

(i)   Meals.

(ii)   Break s.

(iii)    Regis trat ion.

(iv)    Required reading.

 

 

(v)   Out side assignm ent s.

(g)   Ea ch cour se sha ll reflect th e most curr ent version of stat e an d fede ra l  laws  an d regulat ions.

(h)  A sponsor sha ll perm it th e dep artm ent to review a cour se at an y t ime or to inspect th e recor ds of a cour se sponsor dur ing norma l business hour s.

(i)  A sponsor whose program s ar e tran sferr ed to an oth er ent ity sha ll arran ge for stu dent recor ds to be ma inta ined perman ent ly by th e su ccess or ent ity. The su ccess or ent ity sha ll assur e that cour se com pletion in format ion is available to stu dent s who need to verify th eir educat ion.

(2)     The dep artm ent sha ll a ccep t or reject a chan ge in, or addition to, th e in format ion provided to th e dep artm ent on an origina l applicat ion with in 30 days of notificat ion of th e chan ge. The dep artm ent  ma y determ ine that  a proposed chan ge cann ot be ma de with out th e submission of additiona l support ing docum entat ion or that th e extent or num ber  of chan ges requested require th e sponsor to com plete a new applicat ion for approval.

(3)    The  dep artm ent  ma y  request  a  sponsor  to  provide  an y  additiona l  support ing docum entat ion that  is necess ar y for th e dep artm ent to approve th e cour se.

 

R 339 .23309   Sponso rs; duties ; ins truc tors .

Rule 309 . (1) Ea ch sponsor sha ll be resp onsible for all of th e followin g: (a) Complian ce with all laws an d ru les relat ing to appra iser educat ion.

(b) Pr oviding stu dent s with curr ent an d a ccurat e in format ion.

(c)   Mainta ining an atm osphere that  is con ducive to learn ing in th e classr oom .

(d)   Assur ing an d cert ifying th e att endan ce of stu dent s who ar e enr olled in cour ses .

(e) Pr oviding assistan ce to stu dent s an d resp onding to questions relat ing to cour se mat erials.

(f)    Supervising all guest lectur ers an d  relat ing  all  in format ion  that  is  prese nt ed  to th e pra ct ice of REAL ESTATE appra isa l.

(2)       DIST ANCE EDUCATIO N SPONS ORS SHALL EN SUR E THAT ALL OF THE FOLLOWI NG QUALIFICATIO NS FOR THE IR COURSES ARE COMPLIED WITH:

(A)     THE COURSE SHALL BE PRESEN TED TO AN ORGANIZED GROUP IN AN INSTRUCTION AL SETTI NG WITH A PE RSO N QUALIFIED AND AVAILABLE TO ANSWER QUES TIO NS, PROVIDE IN FORMATIO N, AND  MONITOR  STUD EN T ATTEN DANCE.

(B)   THE COURSE MEE TS 1 OF THE FOLLOWI NG CRIT ERIA:

(I)   THE COURSE HAS BEEN PRESEN TED BY A COLL EGE OR UNI VERSIT Y

(APP ROVED BY AN ACCREDIT ED COMMISSIO N ON COLL EGES OR A REGIO NAL ACCREDITI ATIO N ASSOCI ATIO N) THAT OFFE RS  DIST ANCE  EDUCATIO N PROGR AMS IN OTHE R DISCI PLINES .

(II)    ) THE  COURSE HAS RECEIVED APP ROVAL FOR COLL EGE CREDIT FROM  THE AMERIC AN  COUN CIL  ON  EDUCATIO N’S  PROGR AM   ON   NON-COLL EGIATE SPONSORED INSTRUCTION  (ACE/PONSI ).

(III ) THE COURSE IS APP ROVED BY THE APP RAIS ER QUALIFICATIO N BOARD THROUGH THE  AQB  COURSE  APP ROVAL  PROGR AM,  OR  IS  CONSI DERED EQUI VALEN T BY THE AQB.

(C)   THE COURSE MEE TS ALL OF THE FOLLOWI NG REQUI REMEN TS:

 

 

(I)   THE COURSE IS EQUIVALEN T TO A MINIMUM OF 2 CLASSROOM HOURS.

(II)        )   A   STUD EN T   SUCC ESSFU LLY   COMPLETES   A   WRITT EN    EXAMINATIO N PROCTOR ED  BY AN  OFF ICI AL APP ROVED  BY THE  PRESEN TING COLL EGE OR UNI VERSIT Y OR BY THE SPONS ORI NG ORGANIZATIO N  CONSIS TEN T WITH THE REQUI REMEN TS   OF   THE   COURSE   ACCREDIT ATIO N;   OR,   IF   A   WRITT EN EXAMINATIO N    IS    NOT    REQUI RED    FOR     ACCREDIT ATIO N, A STUD EN T SUCC ESSFU LLY COMPLETES  COURSE      MECHANIS MS REQUI RED FOR ACCREDIT ATIO N WHICH DEMONS TRATE MASTERY AND FLUEN CY.

(III ) THE SPONS OR EN SUR ES THAT STUD EN TS COMPLETING DIST ANCE EDUCATIO N COURSES WILL ACHIEVE THE EQUI VALEN T OF THE STATED CLASSROOM HOURS PE R COURSE.

(3)   (2) A sponsor sha ll select as instru ctors only individua ls who can demonstrat e ma stery of th e mat erial being tau ght an d who possess 1 on e of th e following QUALIFICATIO NS t ypes of expe r ie n ce:

(a) ) E xpe r ie n ce a s a fa cu lt y m e m be r of an in s t itut ion of h igh e r ed u cat ion that is auth or ize d  t o grant de gr ees .

(b)    E xpe r ie n ce a s A STATE LIC EN SE D, CE RTI F IE D RE SID EN TIAL OR CE RTI F IE D GENE RAL an appra iser or a ssess or WITH 3 YEARS OF APP RAIS AL EXPE RIEN CE .

(c)    Oth er expe rience a ccep ta ble to th e sponsor  FOR  COURSES  OTHE R  THAN PRELIC EN SUR E COURSES.

(D)   INSTRUCTORS   OF   THE    UNIF ORM    STANDARDS   OF    PROFE SSION AL APP RAISAL PRACTIC E (USP AP) SHALL HAVE COM PLIED WITH THE AQB INSTRUCTOR     CERTI FICATIO N    PROGR AM    AS    REQUI RED    BY    THE    R E AL P RO PE RT Y APP R AIS E R Q U ALI F IC ATIO N CRIT E RI A, EFFE CTI VE  J ANU ARY 1, 2003 . THIS REQUI REMEN T WILL BE EFFE CTI VE IN THIS STATE ON J ANU ARY 1, 2003 OR ON THE EFFE CTI VE DATE OF THE SE RULES, WHICHE VER IS LATER.

 

R  339 .23311      Cou rses   t ha t  a r e  no t  acceptab le  for  pre li censu re  or  continuing educa tio n .

Rule 311 . The dep artm ent sha ll not approve a prelicensur e or  cont inu ing educat ion cour se, nor sha ll it grant credit to a licensee un der section 2627 (5) of th e act for an y of th e following:

C our ses that ar e p r ese nt ed s olely by vide ota pe , au d iota pe , ra d io, t elevisi on , n ewsp a pe r , or n ewsle tt e r  with out  int e ra ct ion  with  an  in s tru ct or  w h o  is  p r ese nt  d ur in g  th e  cour se . COURSES  THAT  DO  NOT  PROVIDE   STUD EN T  ACCESS   TO  AN   INSTRUCTOR DURING THE COURSE.

(b)         Corrr esp on de n ce cour ses FOR PRELIC EN SUR E EDUCATIO N, DIST ANCE EDUCATIO N COURSES PROVIDED VIA THE INT ERNE T.

(c)Cour ses  that   de a l  with  s u ch  e m p loym e nt -r elat ed  t op ics  a s  expl anat ion s  of  r ight s , be n efit s , an d r esp on s ibili t ie s ; or gan izat iona l s tru ctur e; an d on -th e-job m e th ods , p r ocesses , or p r oced ur es .

(d)  Membership in or service in an office, or on a comm itt ee, of a pr ofessi ona l, occu pat iona l, tra de, or industr y society or organ izat ion.

(e)    Conferences, delegat e asse mblies , or similar meetings of pr ofessi ona l organ izat ions for policy-mak ing pur poses.

 

 

(f)   Meetings an d con vent ions of societ ies an d ass ociat ions; however, educat iona l activities which ar e provided indepe ndent ly by  an  approved  cour se  sponsor  an d  which  ar e  held con curr ent ly with such meetings ma y be given credit.

(g)     Att endan ce at lectur e series, cultura l per forman ces, ent erta inm ent , or recreat iona l meetings or activities or  part icipat ion  in  tra vel  groups,  un less  th ese  activities  ar e  an int egra l part of a cour se that  is approved pur suant  to th ese ru les.

(h)   On-th e-job tra ining, apprent iceships, an d oth er work expe riences.

(i) T h e in depe n de nt w r it in g of art icle s or  r ese ar ch  r ep ort s or  th e p r ese ntat ion  of p a pe r s out s ide  an  a pp r ove d  cour se ; h oweve r , auth or in g or  edi t in g  a  t ext b ook  that  e m p ha s ize s a pp ra is a l t op ics ma y be a pp r ove d .

(j) I n d ivi d ua l, se lf-d ir e ct ed s tu d ie s or oth e r form s of in depe n de nt le arn in g expe r ie n ce .

(I)(k ) Cour ses in sales promotion, motivat ion, mark eting, psychology, t ime mana gement , or mechan ical office or business sk ills, including typing, speed -reading, or th e use  of office ma chines or equipment oth er than  finan cia l calculat ors or com put ers.

PRELIC EN SUR E EDUCATIO N

 

R 339 .23317 P re li censu re educa tio n ; app li cation for cou rse app rova l; forms ; requiremen ts , UN ACCEP TABLE COURSES .

Rule 317 . (1) An applicat ion for approval of a prelicensur e real estat e appra iser

educat ion cour se sha ll be ma de  on  form s  provided  by th e dep artm ent .  The dep artm ent sha ll a ccep t or reject an applicat ion with in 60 days of receipt of th e com pleted applicat ion.

(2)   The applicat ion sha ll include all of th e followin g in format ion: (a) The cour se t it le.

(b)    The num ber of clock h our s CLASSROOM HOURS to be given for  com pletion  of th e cour se. As provided in section 2617 (3) of th e act, a cour se sha ll be not less than 15 clock CLASSROOM hour s in length .

(c)   The nam e, business address , an d telep hone num ber of th e sponsor.

(d)   The nam e, business address , an d telep hone num ber of th e cour se coor dinat or.

(e)   The nam e, license num ber, an d qua lificat ions of instru ctors.

(f)   A deta iled out line, as it will appe ar  in th e stu dent  syllabus, of th e subject matt er to be covered an d th e num ber of clock h our s CLASSROOM HOURS to be devoted to each topic. (G)  A  SUMM ARY  OF  THE  REQUI RED  TOPICS  FOR  PRELIC EN SUR E  THAT  ARE COVERED IN THE COURSE.

(g) ) (H) A list of textbooks an d reference mat erials.

(h)  ) (I) The meth odology for verifying  an d  monitoring  att endan ce,  including  th e  class mak eup policy. A sponsor sha ll ha ve a writt en mak eup policy for stu dent s who ar e abse nt from all or a part of regular ly scheduled class sess ions.  If th ere ar e no opportun ities to mak e up missed sess ions, that  policy sha ll be so stat ed.

(i)    (J ) The stan dar ds a stu dent mu st meet to com plete th e cour se, including assignm ent s, pr oject s, exam inat ions, an d th e passing scor e on th e exam inat ion that is required pur suant to th e provisions of section 2617 (3) of th e act to be given at th e com pletion of th e cour se for a stu dent to demonstrat e ma stery of th e mat erial cover ed.

 

 

(k)(L) Pr oof that  th e sponsor is an ent ity that  ma y offer  prelicensur e real estat e appra isal educat ion cour ses in a ccor dan ce with th e provisions of section 2617 (2) of th e act.

(3)    DIST ANCE  EDUCATIO N   COURSES   PROVIDED   VIA   THE  INT ERNE T   ARE UN ACCEP TABLE FOR PRELIC EN SUR E EDUCATIO N.

 

R 339 .23319  P re li censu re  educa tio n; student   reco rds ; pe rmanen t reco rd; cou rse comp le tio n ce rtifi cate .

Rule 319 . (1) A cour se sponsor sha ll esta blish an d perman ent ly ma inta in a recor d for each stu dent .  The recor d sha ll conta in all of th e followin g in format ion:

(a)   The stu dent 's nam e an d address .

(b)   The num ber of clock h our s CLASSROOM HOURS att ended .

(c)  The t itle of th e cour se an d th e dat e of cour se com pletion.

(d)  The stu dent 's gra de.

(2)  A cour se sponsor sha ll issue a cert ificat e of com pletion to a licensee who receives a passing gra de in a prelicensur e educat ion cour se. The cert ificat e sha ll include all of th e followin g in format ion:

(a)   The nam e of th e stu dent .

(b)   The nam e of th e sponsor.

(c)   The nam e of th e cour se att ended.

(d)   The num ber of clock h our s CLASSROOM HOURS com pleted by th e stu dent .

(e)   The dat e of cour se com pletion.

(f)  The signatur e of th e cour se coor dinat or or instru ctor.

 

CONTINU ING EDU CATIO N

 

R  339 .23321       Continuing    educa tio n ;  app li cation    for  cou rse  app rova l;  forms ; requiremen ts .

Rule 321 . (1) An applicat ion for approval of a cont inu ing educat ion cour se sha ll be ma de on form s provided by th e dep artm ent . The dep artm ent sha ll a ccep t or reject th e applicat ion with in 60 days after receipt of th e com pleted applicat ion.

(2) The applicat ion sha ll include all of th e followin g in format ion: (a) The cour se t it le.

(b)    The num ber of clock h our s CLASSROOM HOURS to be given for  com pletion  of th e cour se. As provided in section 2617 of th e act, a cour se sha ll be not less than 2 clock h our s CLASSROOM HOURS in length .

(c)   The nam e, business address , an d telep hone num ber of th e sponsor.

(d)   The nam e, business address , an d telep hone num ber of th e cour se coor dinat or.

(e)   The nam e, license num ber, an d qua lificat ions of instru ctors.

(f)   A deta iled out line, as it will appe ar  in th e stu dent  syllabus, of th e subject matt er to be cover ed an d th e estimat ed t ime to be devoted to each topic.

(g)   A list of textbooks an d reference mat erials.

(h)   The meth odology for verifying an d monitoring att endan ce. The cour se sponsor sha ll be resp onsible for determ ining th e num ber of hour s, if an y, that will be grant ed to a licensee who does not att end all plann ed  classr oom  hour s.  A licensee  sha ll not  receive credit  for att ending th e sam e cour se more than  1 t ime dur ing th e sam e license renewal cycle.

 

 

(i)     The  stan dar ds  a  stu dent  mu st  meet  to com plete  th e  cour se,  including  assignm ent s, pr oject s, or exam inat ions.  The sponsor at it s discretion ma y give cour se

exam inat ions, but  exam inat ions ar e not required by th e act or th ese ru les for cont inu ing educat ion cour ses .

(j)     A  sam ple  of  an y  advert ising  mat erial,  ann oun cement s,  or  br ochur es  to  be  used  to promote th e cour se.

(k)     Pr oof that   th e  sponsor  is  an  ent ity  that   ma y  offer  cont inu ing  educat ion  cour ses  in a ccor dan ce with th e provisions of section 2617 (2) of th e act.

(l)    In format ion to demonstrat e that th e cour se meets th e requirement s of section 2627 (3) an d (4) of th e act an d is des igned to improve an d ma inta in th e capability of a licensee to per form activities regulat ed by th e act.

 

R  339 .23323      Continuing    educa tio n; student   reco rds ; pe rmanen t  reco rd; cou rse comp le tio n ce rtifi cate .

Rule 323 . (1) A cour se sponsor sha ll esta blish an d perman ent ly ma inta in a recor d for each stu dent .  The recor d sha ll conta in all of th e followin g IN FORMATIO N:

(a)   The stu dent 's nam e, address , an d license num ber.

(b)   The num ber of clock h our s CLASSROOM HOURS att ended .

(c)  The t itle of th e cour se an d th e dat e of cour se com pletion.

(2)    A cour se sponsor sha ll issue a cert ificat e of com pletion to a licensee  who su ccess fully com pletes a cont inu ing educat ion cour se. The cert ificat e sha ll include all of th e followin g informat ion:

(a)   The nam e of th e stu dent .

(b)   The stu dent 's license num ber.

(c)  The nam e of th e sponsor.

(d)   The nam e of th e cour se att ended.

(e)   The num ber of clock h our s CLASSROOM HOURS com pleted by th e stu dent .

(f)  The dat e of cour se com pletion.

(g)   The signatur e of th e cour se coor dinat or or instru ctor.

(3)    With in 15 business days after a cour se ends, a sponsor sha ll cert ify to th e dep artm ent th e nam es of stu dent s who com plete an approved cour se by a meth od or on form s approved by th e dep artm ent .

 

R 339 .23326   CONTINU ING EDU CATIO N RE QUIRE MEN TS FOR LICENSEES .

RULE 326 . AS PART  OF  THE  CONTINUIN G  EDUCATIO N  REQUI REMEN TS DEF IN ED IN SECTIO N 2627 OF THE ACT, EVERY 2 YEARS EACH LIC EN SEE SHALL COMPLETE A 2-HOUR COURSE ON MIC HIGAN APP RAISER LIC EN SING LAW AND RULES, OR A COURSE OR SEMINAR WHICH CONTAINS A MINI MUM OF

2  HOURS  DEVOTED  TO  MIC HIGAN  APP RAISER  LIC EN SING  LAW  AND  RULES AND A 7-HOUR COURSE ADDRESSING CURREN T USP AP STANDARDS .

 

 

 

 

P ART 4.  STAND ARDS  OF CONDU CT

 

 

 

R  339 .23401  Lic ensee  re lationship   to   othe rs  pa rti cipating   in   prepa ration   of app raisa ls .

Rule 401 . A s tat eXlice n sed STATE LIC EN SED or s tat e-cert ified RESID EN TIAL OR CERTI FIED GENE RAL real estat e appra iser sha ll not  sign  an  appra isal  report  for  a fede ra lly relat ed tran saction un less that licensee ha s persona lly inspected th e INT ERIOR AND EXTERIOR OF THE subject propert y, THE  EXTERIOR OF THE  COMPARABLES

FROM THE STR EE T, an d assum ed full resp onsibili ty for th e cont ent  an d con clusions of th e report . The mat erial part icipat ion of an y oth er individua l in prepar ing th e report sha ll be shown in th e report  as  required  by  th e  un iform  stan dar ds  of pr ofessi ona l  appra isal pra ct ice cited in th e act, regar dless of th e licensur e statu s of th e oth er individua l. The signatur e of a s tat e-cert ified RESID EN TIAL, CERTI FIED GENE RAL or s tat eXlice n sed STATE LIC EN SED appra iser as a review appra iser sha ll not be used to ma sk th e preparat ion of a report by an individua l who is not auth orized to sign th e report .

 

R   339 .23403            Rea l es tat e  va lua tio n  specia li st ;  LIMIT ED  RE AL  ES TATE APP RAISER ;   state Xli censed    STATE    LICENSED    rea l    es tat e    app raise r; CER TIFIED RES IDEN TIAL RE AL ES TATE APP RAISER  autho riz ed func tio ns .

Rule 403 . (1) If a real estat e  valuat ion  spe cia list  OR  LIMIT ED  REAL  ESTATE APP RAISER is properly qua lified to un dertak e  an  assignm ent ,  a  real  estat e  valuat ion spe cia list OR LIMIT ED REAL ESTATE APP RAISER ma y perform eith er of th e following appra isal  services  IF  THE  REP ORT  IS   SIGN ED   BY   A   SU PE RVISOR Y   STATE LIC EN SE D, CE RTI F IE D RE SID EN TIAL OR CE RTI F IE D GENE RAL REAL E STATE APP RAISER, AS SPE CIFIED IN SECTIO N 2607 (7) OF THE ACT, WHO, BY VIRTU E OF SIGNING THE REP ORT, ASSUM ES FU LL RESPONSI BILIT Y FOR THE ACCURACY OF THE REP ORT CONTEN T AND CONCLUSI ONS :

(a)     Appra ise propert ies that ar e not fede ra lly relat ed tran sactions OR REAL ESTATE RELATED FIN ANCIAL TRANS ACTIO NS . for eith e r of th e followin g r e a s on s :

(i)    The tran saction is not a fede ra lly relat ed tran saction as defined in fede ra l regulat ions cited in section 2601 (d) of th e act.

(ii)  T h e tran s a ct ion am ount is bel ow a de m in imu s level w h ich is es ta blis h ed in

fede ra l r egu lat ion s cit ed in se ct ion  2601 (d )  of  th e  a ct  a s  a  level  at  or  a b ove  w h ich  a tran s a ct ion r eq u ir es th e u se of a s tat eXlice n sed or s tat e-ce rt ifie d r e a l es tat e a pp ra ise r .

(b)    Assist a s tat eXlice n sed  STATE LIC EN SED, CERTI FIED RESID EN TIAL, or s tat e- cert ified GENE RAL real estat e appra iser in th e development of an appra isal for a fede ra lly r elat ed tran saction OR A REAL ESTATE RELATED FIN ANCIAL TRANS ACTIO N. The real estat e valuat ion spe cia list OR LIMIT ED REAL ESTATE APP RAISER sha ll not sign th e report ; however, th e s tat eXlice n sed, STATE LIC EN SED, CERTI FIED RESID EN TIAL or  s tat e-cert ified  GENE RAL  real  estat e  appra iser  sha ll   ackn owledge   th e   specific contr ibut ions  of  th e  real  estat e  valuat ion  spe cialist  OR  LIMIT ED   REAL   ESTATE APP RAISER with in th e appra isal report .

(2)    If a s tat eXlice n sed STATE LIC EN SED  real estat e  appra iser  is  properly qua lified  to un dertak e an assignm ent , a s tat eXlice n sed STATE LIC EN SED real estat e appra iser ma y per form an y of th e followin g appra isal services:

 

 

(a)             )    APP RAIS E    P ROPE RTI E S     THAT     ARE     NOT     FE DE RALLY     RE LATE D TRANS ACTIO NS .

(b)       Appra ise   1   to   4-fam ily   reside nt ial   propert ies,   un less   th e   tran saction   value   is

$1,000 ,000 .00 or more or th e propert y is deemed to be com plex an d, th erefor e, required to be appra ised by a s tat e-cert ified RESID EN TIAL OR CERTI FIED GENE RAL real  estat e appra iser.

(b) App ra ise p r ope rt ie s that ar e n ot fede ra lly r elat ed tran s a ct ion s . for eith e r of th e followin g r e a s on s :

(i)    The tran saction is not a fede ra lly relat ed tran saction as defined in fede ra l regulat ions cited in section 2601 (d) of th e act.

(ii) T h e tran s a ct ion am ount is bel ow a de m in imu s level w h ich is es ta blis h ed in fede ra l r egu lat ion s cit ed in se ct ion 2601 (d ) of th e a ct a s a level at or a b ove w h ich a tran s a ct ion r eq u ir es th e u se of a s tat e-ce rt ifie d r e a l es tat e a pp ra ise r .

(c)           APP RAIS E NON-RESID EN TIAL PROPE RTI ES FOR FE DERALLY RELATED TRANS ACTIO NS AND REAL  E STATE  RELATED  F IN ANCIAL  TRANS ACTIO NS WHE RE THE TRANS ACTIO N VALUE IS LESS THAN $250 ,000 .00 .

(d)      Assist  a  s tat e-cert ified  RESID EN TIAL  OR  CERTI FIED  GENE RAL  real  estat e appra iser in th e development of an appra isal  of  a  com plex  reside nt ial  propert y  or  a nonr eside nt ia l  propert y  that  is  th e  subject   of   a   fede ra lly   relat ed   tran saction,   AS APP ROPRIATE. The s tat eXlice n sed STATE LIC EN SED real estat e appra iser sha ll not sign th e report ; however, th e s tat e-cert ified RESID EN TIAL OR CERTI FIED GENE RAL real estat e appra iser sha ll ackn owledge th e specific contr ibut ions of th e s tat eXlice n sed STATE LIC EN SED  real estat e appra iser with in th e appra isal report .

(3)       A CE RTI F IE D RE SID EN TIAL REAL E STATE APP RAIS E R, IF P ROPE RLY QUALIFIED TO UN DERTAKE AN ASSIGNM EN T, MAY PE RFORM ANY OF THE FOLLOWI NG APP RAISAL ASSIGNM EN TS:

(A)   APP RAIS E   P ROPE RTI E S   THAT   ARE   NOT   FE DE RALLY    RE LATE D TRANS ACTIO NS .

APP RAIS E 1 TO 4-FAMIL Y RESID EN TIAL PROPE RTI ES, WITHOUT REGARD TO COMPLEXITY OR VALUE .

(C)       APP RAIS E NON-RESID EN TIAL PROPE RTI ES FOR FE DERALLY RELATED TRANS ACTIO NS AND REAL  E STATE  RELATED  F IN ANCIAL  TRANS ACTIO NS WHE RE THE TRANS ACTIO N VALUE IS LESS THAN $250 ,000 .00 .

(D)        ASSIST A CERTI FIED GENE RAL REAL ESTATE APP RAIS ER IN THE DEVELOPMEN T OF AN APP RAISAL OF A NONRESID EN TIAL PROPE RTY THAT IS THE SUB J ECT OF A FE DERALLY RELATED TRANS ACTIO N, AS APP ROPRIATE.

THE CERTI FIED RESID EN TIAL REAL ESTATE APP RAIS ER SHALL NOT SIGN THE REP ORT . H OWEVE R, THE CE RTI F IE D GENE RAL REAL E STATE APP RAIS E R SHALL   IDEN TIFY   THE   SPE CIFIC   CONTRIB UTIO NS    OF    THE    CERTI FIED RE SID EN TIAL RE AL E STATE APP RAIS E R WITH IN THE APP RAIS AL REP ORT .

(4)    SIGN ATURES ARE REQUI RED ON APP RAISAL REP ORTS ACCORDI NG TO THE FOLLOWI NG CHART. THE LIC EN SEE AUTHORI ZED TO SIGN  THE  REP ORT SHALL    IDEN TIFY    ALL    PARTICI PATING    LIC EN SEE S    AND    THE IR CONTRIB UTIO NS TO THE REP ORT.

 

 

SIGN ATURES REQUI RED : BY LIC EN SE LEVEL AND TRANSACTIO N CATEGORI ES	NON- FE DERALLY RELATED TRANSACTIO NS & NON- REAL ESTATE- RELATED FINANCIAL TRANSACTIO NS	FE DERALLY RELATED TRANSACTIO N S 1-4 FAMILY PROPE RTI ES LESS THAN $1  MILLIO N IN VALUE	FE DERALLY RELATED TRANSACTIO N S 1-4 FAMILY PROPE RTI ES MORE THAN $1 MILLIO N OR COMPLEX PROPE RTI ES MORE THAN $250 ,000 IN VALUE	FE DERALLY RELATED TRANSACTIO N S NON- RESID EN TIAL PROPE RTI ES LESS THAN $250 ,000 IN VALUE	FE DERALLY RELATED TRANSACTIO NS NON- RESID EN TIAL MORE THAN $250 ,000 IN VALUE
LIMIT ED APP RAISER	YES	NO	NO	NO	NO
STATE LIC EN SED APP RAISER	YES	YES	NO	YES	NO
CERTI FIED RESID EN TIAL APP RAISER	YES	YES	YES	YES	NO
CERTI FIED GENE RAL APP RAISER	YES	YES	YES	YES	YES

 

R 339 .23405  Adve rti sing .

Rule 405 . (1) A licensee sha ll stat e th e level of license held in all advert ising. Merely stat ing that th e person is licensed does not sat isfy th e provisions of th is subru le. However, in a directory list ing or similar situat ion where space is limited, it sha ll be su fficient disclosur e for a  licensee  to  use  th e  words  s tat e-cert ified  GENE RAL,  CERTI FIED RESID EN TIAL, s tat eXlice n sed STATE LIC EN SED, LIMIT ED APP RAISER, or valuat ion specialist, as appropriat e, with out additiona l wording.

(2) A licensee sha ll place his or her license num ber AND LIC EN SE LEVEL on all report s an d sha ll produce evide nce of licensing upon request by a member of  th e  public  or  a represe ntat ive of th e dep artm ent . A license num ber sha ll not be required in advert ising mat erial.