§3347 Monitoring of State Appraiser Certifying and Licensing Agencies

Summary

The Appraisal Subcommittee must monitor state agencies that license or certify real estate appraisers. It makes sure each state agency has proper policies, funding, staff, and procedures; handles complaints and investigations quickly; disciplines appraisers and appraisal management companies when needed; runs an effective program; and reports complaints and disciplinary actions on time to the national appraiser and appraisal management-company registries. Federal financial institutions, federal regulators, the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, and the Resolution Trust Corporation must accept state appraiser licenses unless the Appraisal Subcommittee issues a written finding that the state fails to enforce required standards, lacks authority or funding to do the job, or makes decisions that defeat the law’s purposes. Before refusing to recognize a state’s licenses, the Subcommittee must give written notice, let the state respond or correct the problems, use written procedures, and allow the decision to be reviewed by a court.