13 PROPOSED ADMINISTRATIVE RULES

 

 

ORR # 2002-057

 

DEPARTMENT OF CONSUMER AND INDUSTRY SERVICES BUREAU OF COMMERCIAL SERVICES

BOARD OF REAL ESTATE APPRAISERS-GENERAL RULES

 

Filed with the Secretary of State on

These rules take effect 7 days after filing with the Secretary of State

 

(By authority conferred on the department of consumer and industry services by sections 205, 308, 2605, and 2617 of 1980 PA 299, MCL 339.205, 339.308, 339.2605, and 339.2607, and Executive Reorganization

Order No. 1996-2, MCL 445.2001)

 

R 339.23101 of the Michigan Administrative Code is amended as follows:

 

PART 1. GENERAL PROVISIONS

 

R 339.23101 Definitions.

Rule 101. (1) As used in these rules:

(a)             “A course covering the “uniform standards of professional appraisal practice” in section 2627(5) and the “uniform standards of appraisal practice and ethics” in sections 2611(1), 2613(a)(xv), 2614(b)(xv) and 2615(b)(xv) of the act means the 15-hour national USPAP course or the 7-hour national USPAP update seminar, or their equivalent, as required by the AQB real property appraiser qualification criteria, adopted on October 27, 2000, and effective January 1, 2003.

(b)       "Act" means 1980 PA 299, MCL 339.101 et seq., and known as the occupational code.

(c)       "Board" means the board of real estate appraisers.

(d)      "Licensee" means an individual who is licensed under article 26 of the act, including a real estate valuation specialist, a limited real estate appraiser, a state-licensed real estate appraiser, a certified residential real estate appraiser, or a certified general real estate appraiser.

(e)       "Market analysis as performed by a real estate licensee” means the activity defined in section 2601(a)(i) and

(ii) of the act, and means analysis solely for the purpose of establishing potential sale, purchase, or listing price of real property or the rental rate of real property and is not for the purpose of evaluating a property for mortgage lenders in the primary or secondary mortgage market.

(f)         “Real estate consulting”, as used in sections 2613, 2614, and 2615 of the act, means that function or functions described in standards 4 and 5 of the uniform standards of professional appraisal practice.

(g)      “Transaction value” means any of the following:

(i)  For loans or other extensions of credit, the amount of the loan or the extension of credit.

(ii)   For sales, leases, purchases, and investments, or in exchanges of real property, the market value of the real property interest involved.

 

 

(iii)  For the pooling of loans or interests in real property for resale or purchase, the amount of the loan or market value of the real property calculated with respect to each such loan or interest in real property.

(h)          “Uniform standards of professional appraisal practice” or “USPAP” means the uniform standards of professional appraisal practice, published by the Appraisal Foundation, effective January 1, 2002 2003. Copies of the USPAP 2002 2003 edition are available at a cost AT THE TIME OF ADOPTION OF THESE RULES of $30.00 FOR REGULAR BINDING AND $35.00 FOR SPIRAL BINDING plus $8.50 FOR SINGLE COPIES AND $1.00 FOR EACH ADDITIONAL COPY for shipping, at the time of adoption of these rules, from the Appraisal Foundation, 1029 Vermont Avenue NW, Suite 900, Washington DC 20005- 3517. Mail orders: P.O. Box 96724, Washington DC 20090-6734. Phone: toll-free 800/805-7857 or 240/864-0100. Internet address: www.appraisalfoundation.org. The USPAP 2002 2003 edition can be reviewed or purchased from the Department of Consumer & Industry Services, Bureau of Commercial Services, 2501 Woodlake Circle, Okemos Michigan 48824, Phone: [phone], at a cost as of the time of adoption of these rules of $50.00 plus $11.00 shipping and handling costs.

(2) Terms defined in articles 1 to 6 and 26 of the act have the same meanings when used in these rules.