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Writer's pictureAAA AMC - AAA Appraisal Management Company

Newly Licensed Appraisers Face a Critical Challenge


Since I interact with appraisers all day and have been for the last decade, I wanted to blog about a challenge that newly Licensed Appraisers face when landing a position with Appraisal Management Companies every day.

Here’s a typical scenario: Appraiser Trainees get their Trainee license and are ready for some appraisal experience. After finally landing a mentor (a State Licensed Appraiser), they go through a rigorous one-year program, which includes training with them for a minimum of 2,000 hours. Once their hours are accepted by the board, they are eligible to take a State Board exam. Once they pass that test, they become a State Licensed Appraiser.

Armed with a new license, which may take up to 90 days to issue in some states, the appraiser calls me for work. Sadly, I have to turn them down. They don’t realize that lenders today will now only accept Certified Appraisers.

Becoming a State Certified Appraiser needs an additional five years of experience…5 years! That is almost equivalent to obtaining an MD! To add insult to injury, Licensed Appraisers face a major roadblock when attempting to complete the requirements because no one is able to hire them.

I truly wish I could give work to all appraisers on my panel because I do realize how hard they have worked to become licensed, however I’m unable to because of the requirements that I, myself, must meet in order to do business with Lenders.

I care deeply about the future of the appraisal industry and I fear that, unless we come up with a solution to training them, our future is at stake.

Word travels fast and individuals are already starting to shy away from this industry, which is evident by the fewer number of new appraisers.

What are your thoughts? How do we fix this situation? Let me know in the comments section below.

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