The Appraisal Subcommittee to review appraisal policies

ASC says three appraisal organizations will be reviewed against fair housing, fair lending, and civil rights laws

The Appraisal Subcommittee to review appraisal policies

The Appraisal Subcommittee (ASC), the independent federal agency overseeing the real estate appraisal industry, has launched a legal and policy review of real estate appraisal standards and appraiser qualification criteria.

ASC’s partner, the Council on Licensure, Enforcement, and Regulation (CLEAR), has built a consortium of organizations that will review the Uniform Standards of Professional Appraisal Practice (USPAP) and the Real Property Appraiser Qualification Criteria (Criteria), as well as the 15-Hour National USPAP and 7-Hour National USPAP Update Courses required to attain and maintain licensure as an appraiser.

The agency said that the goal of the policy review is to determine whether the established federal requirements “ensure and promote fairness, equity, objectivity, and diversity, in both appraisals and the training and credentialing of appraisers. With funding from the ASC, USPAP and the Criteria will be reviewed against fair housing, fair lending, and civil rights laws.”

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Additionally, the review will examine the process for training and retaining new appraisers and consider barriers to entry that disproportionately impact minorities and/or women. The consortium will also evaluate the process used to promulgate changes to USPAP and the Criteria.

Members of the consortium include the National Fair Housing Alliance (a civil rights organization dedicated to eliminating all forms of housing and lending discrimination and ensuring equal opportunities), Steve Dane (renowned expert on fair housing and civil rights law), and Better Mortgage (which brings multiple appraisers in a team led by Jillian White, head of collateral).

“ASC and CLEAR are very pleased with the caliber of these proposals and qualifications of the selectees,” said ASC executive director Jim Park. “This is an important step to determine if USPAP and/or the real property appraiser qualification criteria have had a disparate impact on people of color and women entering the appraisal profession, as well as consumers who are directly impacted by appraisals.”