A recurring question in those classes is, “What license is required to perform real estate appraisals in Ohio?”
Much to the surprise of the 50+ students in the room, I tell them here in Ohio — no license is required. “You’re all real estate appraisers already …”
Ohio does offer licensing and certification for real estate appraisers, and such is required for federally-related transactions (such as related to loans sold to Fannie Mae,) but otherwise is voluntary.
The next question is usually, “How does Ohio compare to other states?” “Are the licensing requirements different state-to-state?” Basically, states and U.S. territories license/certify real estate appraisers in one of three ways:
- Licensing/Certification required for all real estate appraisal activity (38 states/territories.)
- Licensing/Certification required for all federally-related transactions, but not otherwise (13 states/territories.)
- Licensing/Certification is not offered/required (4 states/territories: Alaska, Iowa, Oklahoma, Wyoming.)
As can be seen by these statistics, mandatory licensing/certification for real estate appraisal is widespread, but only in 69% of the United States and territories; in the other 31% anyone can appraise real estate [real property] without any license whatsoever.
Relatedly, no state or territory requires any license/certification — nor training/experience — to appraise personal property, although training and experience helps. For instance, the National Auctioneers Association provides classes resulting in the GPPA and MPPA designations in personal property appraisal.
Why is this important for auctioneers? Auctioneers make the best real estate and personal property appraisers and many auctioneers all across the United States conduct auctions and offer appraisal services. It’s essential those auctioneers know the laws which govern the appraisal business.
This above analysis is current as of June 6, 2016. This link may be more current thereafter if states/territories alter their laws: https://www.asc.gov/State-Appraiser-Regulatory-Programs/StateOperationsAndRequirements.aspx
Mike Brandly, Auctioneer, CAI, AARE has been an auctioneer and certified appraiser for over 30 years. His company’s auctions are located at: Mike Brandly, Auctioneer, Real Estate Showcase and Goodwill Columbus Car Auction. He serves as Distinguished Faculty at Hondros College of Business, Executive Director of The Ohio Auction School and Faculty at the Certified Auctioneers Institute held at Indiana University.