As you might have seen, two studies have been released in recent years that are gaining some attention in light of recent events in Minneapolis and elsewhere. The Brookings Institution conducted a study on racial wealth gaps attributable to valuation processes. It does not review appraisals, but uses Zillow and owner estimates of value to draw inferences about appraisal. Another report was published by the American Sociological Society, which interviews several field appraisers and takes issue with appraisal neighborhood/location adjustment processes.

The body of knowledge is well established and accepted. The appraisal process is rigorous, and we must defend it to the greatest extent possible. People (and appraisers) are not perfect. We can do more to reinforce existing requirements and to help illuminate important issues. That spirit is central to our Aug. 20 letter to TAF and to the actions we are taking to improve education and awareness.

The Appraisal Institute Board of Directors adopted one 45-Day Notice item on its agenda during its Aug. 6-7 meeting, which was conducted via videoconference due to the coronavirus pandemic.

The Board adopted the proposed amendments to Appraisal Institute Regulation No. 4 regarding streamlining the requirements for readmission to Designated Membership. The 45-Day Notice was distributed to Appraisal Institute professionals June 22.

The Board also voted to send to 45-Day Notice proposed amendments to the Appraisal Institute Bylaws regarding the Audit Committee. Additionally, a project team will be created to study potential changes to Appraisal Institute Bylaws, policies and procedures regarding the nomination and election process for vice president.

Click here to read more.

Craig Steinley, MAI, SRA, AI-GRS, AI-RRS, of Rapid City, South Dakota, was elected 2021 vice president of the nation’s largest professional association of real estate appraisers Thursday by its Board of Directors during the Board’s virtual meeting.

Steinley’s one-year term at the Appraisal Institute will begin Jan. 1, followed by one year each as president-elect, president and immediate past president. He will serve on AI’s Executive Committee and the policy-making Board of Directors all four years. He also will chair the Finance Committee in 2021 and the National Nominating Committee in 2024.

“I feel privileged to have been elected vice president of the Appraisal Institute, and I’m excited to help guide the organization through these unusual times,” Steinley said. “I look forward to working hard for valuation professionals in the United States and around the world.”

Click here to read more.

The Appraisal Institute sent a letter urging swift passage of the Portal for Appraisal Licensing Act of 2020 in the 116th Congress, which would amend the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 to establish a portal for appraisal credentialing and AMC registration information, and for other purposes.

“Appraisers need help reducing their administrative burdens and servicing clients, particularly in a socially distant workplace where clients may be located in other states,” said Appraisal Institute President Jefferson L. Sherman, MAI, AI-GRS.

Last week, NCAI was joined by Appraisal Institute President Jefferson L. Sherman, MAI, AI-GRS, and Chief Executive Officer Jim Amorin, CAE, MAI, SRA, AI-GRS who spoke with members about the coronavirus pandemic’s impact on the Appraisal Institute, individual appraisers, and the valuation profession, how AI is facing these issues, and projected what the future of the industry looks like. Click here or on the image below to view the recording.

The North Carolina Chapter of the Appraisal Institute (NCAI) has been informed that Jack C. (Cal) Morgan III, MAI, SRA, AI-GRS, has been appointed to the North Carolina Appraisal Board (NCAB) by Tim Moore, NC House Speaker. We congratulate Cal on his appointment, and we thank him for his willingness to be a leader in the appraisal industry. We wish you well in this endeavor, and we know you will continue to promote the highest standards for real estate appraisal practice in the protection of the public trust. 

Cal is a graduate of the College of Charleston, in Charleston, SC. He has over 20 years of experience in real estate appraisal, construction, and investment analysis. He is the owner of JC Morgan Company in Wilmington, NC, which provides appraisal services as well as consulting and litigation support services. Cal is also a NC licensed general contractor and NC real estate broker. He served on the NC Property Tax Commission from 2013 to 2017 and currently serves as the Chairman of the Wilmington Zoning Board of Adjustment. Cal lives in Wilmington with his wife Seanna and their three children.

The Appraisal Institute has assembled a stellar lineup of appraisers from the Top 10 Metropolitan Statistical Areas to help investors, developers, brokers, and other industry stakeholders understand initial buyer and seller reaction to COVID-19.

Residential real estate appraisers from across the country will summarize initial observations and identify considerations that appraisers will evaluate in the near and long term. We will also discuss trends in rural markets, appraiser reaction to policy changes of the GSEs, FHA and VA, and the dynamics with employee relocation appraisals, which require forecasting.

Now available!  Last week's AI Answers features a discussion with Lyle Radke, director of collateral policy at Fannie Mae. We received information on a range of issues, including a partnership between AI and Fannie Mae on diversity in the appraisal profession, the strong performance of appraisers in the COVID-19 pandemic, and what's ahead for Fannie Mae for the remainder of the year.  

Listen to the Conversation

Now available!  This week's AI Answers features a discussion with Lyle Radke, director of collateral policy at Fannie Mae. We received information on a range of issues, including a partnership between AI and Fannie Mae on diversity in the appraisal profession, the strong performance of appraisers in the COVID-19 pandemic, and what's ahead for Fannie Mae for the remainder of the year.

Listen to the conversation.

• Approved appointments to the recently created University Relations Committee;
• Approved an appointment to fill a vacancy on the Women’s Initiative Committee; and
• Approved the transfer of funds from AI’s reserve fund to its operating fund.

Craig Steinley, MAI, SRA, AI-GRS, AI-RRS, of Rapid City, South Dakota, was nominated for 2021 Appraisal Institute vice president by the AI National Nominating Committee at its May 6 meeting, which was held via videoconference due to the coronavirus pandemic.

National Nominating Committee Chair Stephen S. Wagner, MAI, SRA, AI-GRS, submitted the committee’s nomination to the AI Board of Directors at its May 7 meeting. Board members may file petitions for additional nominees in accordance with the Appraisal Institute Bylaws. The AI Board of Directors is expected to elect the 2021 vice president at its Aug. 5-6 meeting.

The Appraisal Institute is devoted to helping appraisers reach their highest potential and making sure they have all the knowledge needed to work in the valuation profession, according to the latest video from the organization. In the video, Tonia Vailas, MAI, AI-GRS, and Michael V. Tankersley, MAI, SRA, AI-GRS, AI-RRS, share their experiences working with trainees.

These appraisers discuss what steps they are taking to make sure their trainees succeed in the profession and the best ways that trainees can find licensed appraisers to work alongside.

President Trump on April 24 signed the Paycheck Protection Program and Health Care Enhancement Act, bipartisan legislation that provides $320 billion in additional funding for small businesses affected by the coronavirus pandemic. The Small Business Administration started accepting applications April 27, and already has approved more than 100,000 loans.

Read more here.

Federal banking regulators last week moved to allow banks to delay getting an appraisal on a property for as many as 120 days after a mortgage closes, and now, credit unions can do the same thing.

In order to “allow credit unions to expeditiously extend liquidity to creditworthy households and businesses in light of recent strains on the U.S. economy as a result of the National Emergency declared in connection with coronavirus disease,” the National Credit Union Administration will allow credit unions to postpone obtaining an appraisal until four months after a mortgage closes.

Be sure to attend this week's AI Answers, a one-hour Facebook Live session on current affairs affecting appraisers. Adam Johnston, SRA, AI-RRS, of Genworth Mortgage Insurance, will discuss strengths and weaknesses of residential appraisal virtual inspection applications, and Justin Glasser, MAI, of Cushman & Wakefield Valuation and Advisory, will address impairment accounting considerations. 

The Appraisal Institute’s April 17, 2020, webinar featured about a dozen nationally recognized commercial real estate experts who addressed changing market conditions during the coronavirus (COVID-19) pandemic. Click here or below to view.

The North Carolina Chapter of the Appraisal Institute (NCAI) continues to monitor developments regarding the COVID-19 (coronavirus) outbreak. The health and safety of our members and event participants is of the highest importance and we are taking this outbreak very seriously.  

In an effort for us all to stay informed, NCAI has created a COVID-19 Resources Webpage that provides the latest news regarding the COVID-19 situation at the state, national, and industry levels. 

The Appraisal Institute issued guidance cultivated from its Professional Practice staff on March 16 to help AI professionals and other real estate valuers serve their clients during the rapidly evolving global coronavirus pandemic.

“Appraisers should take care not to put themselves in harm’s way while completing their assignments,” the guidance said, which directed appraisers to the Centers for Disease Control and Prevention’s current risk assessment.