Utah Administrative Code
The Utah Administrative Code is the body of all effective administrative rules as compiled and organized by the Division of Administrative Rules (Subsection 63G-3-102(5); see also Sections 63G-3-701 and 702).
Rule R162-104. Experience Requirement.
As in effect on July 1, 2009
Table of Contents
- R162-104-1. Measuring Experience.
- R162-104-2. Maximum Points Per Year.
- R162-104-3. Time Allowed for Meeting Experience Requirement.
- R162-104-4. Proof of Experience.
- R162-104-5. Compliance with USPAP and Licensing Requirements; Local Experience Requirement.
- R162-104-6. State-Licensed and State-Certified Applicants.
- R162-104-7. Review or Supervision of Appraisals.
- R162-104-8. Condemnation Appraisals.
- R162-104-9. Preliminary Valuation Estimates, Comparative Market Analysis, Real Estate Consulting Services, and Other Real Estate Experience.
- R162-104-10. Experience Participation.
- R162-104-11. Unacceptable Experience.
- R162-104-12. Verification of Experience.
- R162-104-13. Experience Review Committee.
- R162-104-14. Special Circumstances.
- R162-104-15. Appraisal Experience Points Schedules.
- KEY
- Date of Enactment or Last Substantive Amendment
- Notice of Continuation
- Authorizing, Implemented, or Interpreted Law
R162-104-1. Measuring Experience.
104.1.1 Except for those applicants who qualify under Section 104-14, appraisal experience shall be measured in points according to the Appraisal Experience Points Schedules in Section R162-104-15 of this rule and also in time accrued.
104.1.1.1 Experience for state-licensed applicants shall have been accrued in no fewer than 12 months. Experience for the certified residential applicants shall have been accrued in no fewer than 24 months, as required by the AQB. Experience for the certified general applicants shall have been accrued in no fewer than 30 months, as required by the AQB.
104.1.1.2 Applicants for the state-licensed category shall submit proof of at least 400 points of experience and a minimum of 2000 appraisal hours of experience. Applicants for certified residential shall submit proof of at least 100 additional points and 500 additional appraisal hours accrued after state-licensed status was obtained, for a total of 500 points and 2500 appraisal hours of experience. Applicants for certified general shall submit proof of at least 200 additional points and 1000 appraisal hours accrued after state-licensed status was obtained, for a total of 600 points and 3000 appraisal hours of experience.
R162-104-2. Maximum Points Per Year.
104.2 For applicants for certification, a maximum of 400 points will be credited for any one 12-month period. For applicants for licensure, a maximum of 400 points will be credited for any one 12-month period.
R162-104-3. Time Allowed for Meeting Experience Requirement.
104.3 Credit will be given for appraisal experience earned only within five years immediately preceding the licensure or certification application.
R162-104-4. Proof of Experience.
104.4 The Division shall require the applicant to substantiate the experience claimed using the form required by the Division.
R162-104-5. Compliance with USPAP and Licensing Requirements; Local Experience Requirement.
104.5 No experience credit will be given for appraisals which were performed in violation of Utah law, the law of another jurisdiction, or the administrative rules adopted by the Division and the Board.
104.5.1 No experience credit will be given for appraisals unless the appraisals were done in compliance with USPAP.
104.5.2 In order to qualify as experience credit toward certification, the additional points for certification required by Subsection R162-104.1.1.2 must have been accrued while the applicant was licensed as an appraiser in Utah, or in another state if licensure was required in that state, at the time the appraisal was performed.
104.5.3 Except for experience points claimed under Subsection R162-104.15.3, appraisals where only an exterior inspection of the subject property is performed shall be granted 25% of the credit awarded an appraisal which includes an interior inspection of the subject property. Not more than 25% of the total experience required for licensure or certification may be earned from appraisals where the interior of the subject property is not inspected.
104.5.4 At least 50% of the appraisals submitted for experience credit shall be appraisals of properties located in Utah.
R162-104-6. State-Licensed and State-Certified Applicants.
104.6.1 Except for those applicants who qualify under Section R162-104-14, applicants applying for licensure as State-Licensed Appraisers shall be awarded points from the Points Schedules in Section R162-104-15 for their experience prior to licensure only if the experience claimed was gained in compliance with Subection R162-105-3.
104.6.2 Applicants applying for certification as State-Certified Residential Appraisers must document at least 75% of the points submitted from the Residential Experience Points Schedule or the residential portion of the Mass Appraisal Points Schedule. No more than 25% of the total points submitted may be from the General Experience Points Schedule or from assignments listed on the Mass Appraisal Points Schedule other than 1 to 4 unit residential properties.
104.6.3 Applicants applying for certification as State-Certified General Appraisers may claim points for experience from any of the Points Schedules in Section R162-104-15, so long as at least 50% of the total points has been earned from the General Experience Points Schedule or from assignments listed on the Mass Appraisal Points Schedule other than 1 to 4 unit residential properties.
R162-104-7. Review or Supervision of Appraisals.
104.7 Review appraisals will be awarded experience credit when the appraiser has performed technical reviews of appraisals prepared by either employees, associates or others, provided the appraiser complied with Uniform Standards of Professional Appraisal Practice Standards Rule 3 when the appraiser was required to comply with the rule. The following points shall be awarded for review or supervision of appraisals:
104.7.1 Review of an appraisal which includes verification of the data, but which does not include a physical inspection of the property, commonly known as a desk review, shall be worth 30% of the points awarded to the appraisal if a separate written review appraisal report is prepared. Except as provided in Subsection R162-104.7.5, a maximum of 100 points may be earned by desk review of appraisals.
104.7.2 Review of appraisals which includes a physical inspection of the property and verification of the data, commonly known as a field review, shall be worth 50% of the points awarded to the appraisal if a separate written review appraisal report is prepared. Except as provided in Subsection R162-104.7.5, a maximum of 100 points may be earned by field review of appraisals.
104.7.3 Supervision of appraisers shall be worth 20% of the points awarded to the appraisal. A maximum of 100 points may be earned by supervision of appraisers.
104.7.4 Except as provided in Subsection R162-104.7.5, not more than 50% of the total experience required for certification may be granted under Subsections R162-104.7.1 through R162-104.7.3 and R162-104.9.1 and R162- 104.9.3 combined.
104.7.5 Applicants whose experience was earned through review of appraisals with no opinion of value developed as part of the review performed in conjunction with investigations by government agencies are not subject to the point limitations in Subsections R162-104.7.1, R162-104.7.2, and R162-104.7.4.
R162-104-8. Condemnation Appraisals.
104.8 Condemnation appraisals shall be worth an additional 50% of the points normally awarded for the appraisal if the condemnation appraisal included a before and after appraisal because of a partial taking of the property.
R162-104-9. Preliminary Valuation Estimates, Comparative Market Analysis, Real Estate Consulting Services, and Other Real Estate Experience.
104.9.1 Preliminary valuation estimates, range of value estimates or similar studies, and other real estate related experience gained by bankers, builders, city planners and managers, or other individuals may be granted credit for up to 50% of the experience required for certification in accordance with Section R162-104-14, so long as the experience demonstrates to the Board that the applicant has the ability to arrive at a fair market value of property and to properly document value conclusions.
104.9.2 Comparative market analysis by real estate licensees may be granted up to 100% experience credit toward certification in accordance with Section R162-104-14, when the analysis is prepared in conformity with USPAP Standards Rules 1 and 2 and the individual can demonstrate to the Board that he is using similar techniques as appraisers to value properties and effectively utilize the appraisal process.
104.9.3 Appraisal analysis, real estate counseling or consulting services, and feasibility analysis/study will be awarded experience credit in accordance with Section R162-104-14 for up to 50% of the experience required toward certification so long as the services were performed in accordance with USPAP Standards Rules 4 and 5.
104.9.4 Not more than 50% of the total experience required for certification may be granted under Subsections R162-104.9.1 and R162-104.9.3 and R162-104.7.1 through R162-104.7.3 combined.
R162-104-10. Experience Participation.
104.10 An applicant for certification must be able to prove more than 50% participation in the data collection, verification of data, reconciliation, analysis, identification of property and property interests, compliance with USPAP standards, and preparation and development of the appraisal report in order to count the appraisal for experience credit. With the exception of experience claimed under Subsection R162-104.15.3, experience credit will be granted to only one licensed appraiser per completed appraisal even though more than one may have participated in the development of the appraisal.
R162-104-11. Unacceptable Experience.
104.11 An applicant will not receive points toward satisfying the experience requirement for licensure or certification for performing the following:
(a) Appraisals of the value of a business as distinguished from the appraisal of commercial real estate; or
(b) Personal property appraisals.
R162-104-12. Verification of Experience.
104.12 The Board, at its discretion, may verify the claimed experience by any of the following methods: verification with the clients; submission of selected reports to the Board; and field inspection of reports identified by the applicant at the applicant's office during normal business hours.
R162-104-13. Experience Review Committee.
104.13 There may be a committee appointed by the Board to review the experience claimed by applicants for licensure or certification.
104.13.1 The Committee shall:
104.13.1.1 Review all applications for adherence to the experience required for licensure or certification;
104.13.1.2 Correspond with applicants concerning submissions, if necessary; and
104.13.1.3 Make recommendations to the Division and the Board for licensure or certification approval or disapproval.
104.13.2 Committee composition. The Committee shall be composed of appraisers from the following categories: residential appraisers; commercial appraisers; farm and ranch appraisers; right-of-way appraisers; and mass appraisers.
104.13.2.1 The chairperson of the committee shall be appointed by the Board.
104.13.2.2 Meetings may be called upon the request of the chairperson or upon the written request of a quorum of committee members.
104.13.3 New Review. If the review of an application has been performed by the Experience Review Committee, and the Board has denied the application based on insufficient experience, the applicant may request that the Board review the issue again by making a written request within thirty days after the denial stating specific grounds upon which relief is requested. The Board shall thereafter consider the request and issue a written decision.
R162-104-14. Special Circumstances.
104.14 Applicants having experience in categories other than those shown on the Appraisal Experience Points Schedules, or applicants who believe the Experience Points Schedules do not adequately reflect their experience, or applicants who believe the Experience Points Schedules do not adequately reflect the complexity or time spent on an appraisal, may petition the Board on an individual basis for evaluation and approval of their experience as being substantially equivalent to that required for licensure or certification. Upon a finding that an applicant's experience is substantially equivalent to that required for licensure or certification, the Board may accept the alternate experience and award the applicant an appropriate number of points for the alternate experience.
104.14.1 Fulltime elected county assessors and any person performing an appraisal for the purposes of establishing the fair market value of real estate for the assessment roll are not subject to the limitations in Subsection R162-105.3.
R162-104-15. Appraisal Experience Points Schedules.
104.15 Points shall be awarded as follows. The point schedule in Table 1 is intended to award one experience point for every five hours of appraisal experience.
104.15.1 Residential Experience Points Schedule. The following points shall be awarded to form appraisals. Three points may be added to the points shown if the appraisal was a narrative appraisal instead of a form appraisal.
TABLE 1
(a) One-unit dwelling, above-grade
living area less than 4,000 square
feet, including a site 1 point
(1) One-unit dwelling, above-
grade living area 4,000 square
feet or more, including a site 1.5 points
(b) Multiple one-unit dwellings in
the same subdivision or condominium
project which are substantially similar
(1) 1-25 dwellings 1 point per
dwelling up to a
maximum
of 6 points
(2) Over 25 dwellings A total of 10
points
(c) Two to four-unit dwelling 4 points
(d) Employee Relocation Counsel
reports completed on currently accepted
Employee Relocation Counsel form 2 points
(e) Residential lot, 1-4 unit 1 point
(f) Multiple lots in the same subdivision
which are substantially similar
(1) 1-25 lots 1 point per
lot up to a
maximum of
6 points
(2) Over 25 lots A total of
10 points
(g) Small parcel up to 5 acres 1 point
(h) Vacant land, 20-500 acres 4-8 points,
as determined
by the Board
(i) Recreational, farm, or timber acreage suitable
for a house site, up to 10 acres 2 points
Over 10 acres 3 points
(j) All other unusual structures or acreages, 1-7 points
which are much larger or more complex than as determined
typical properties by the Board
(k) Review of residential appraisals with no
opinion of value developed as part of the
review performed in conjunction with
investigations by government agencies 2-10 points
104.15.1.1 Government Agency Experience. Applicants whose experience was earned primarily through review of residential appraisals with no opinion of value developed as part of the review that were performed in conjunction with investigations by government agencies will be required to submit proof of having performed at least the following number of one-unit dwelling appraisals conforming to USPAP Standards 1 and 2:
104.15.1.1.1 Applicants for State-Licensed Appraiser: five.
104.15.1.1.2 Applicants for State-Certified Residential Appraiser: eight.
104.15.1.2 A maximum of 50 experience points may be earned from appraisal of vacant land.
104.15.2 General Experience Points Schedule. All appraisal reports claimed must be narrative appraisal reports. The point schedule in Table 2 is intended to award one experience point for every five hours of appraisal activity. Experience points listed in Table 2 may be increased by 50% for unique and complex properties if the applicant notes the number of extra points claimed on the Appraiser Experience Log submitted by the applicant and maintains in the workfile for the appraisal an explanation about why the extra points are claimed.
TABLE 2
(a) Apartment buildings, 5-100 units 8 points
Over 100 units 10 points
(b) Hotel or motels, 50 units or fewer 6 points
51-150 units 8 points
Over 150 units 10 points
(c) Nursing home, rest home, care facilities,
Fewer than 80 beds 8 points
Over 80 beds 10 points
(d) Industrial or warehouse building,
Fewer than 20,000 square feet 6 points
Over 20,000 square feet, single tenant 8 points
Over 20,000 square feet, multiple tenants 10 points
(e) Office buildings
Fewer than 10,000 square feet 6 points
Over 10,000 square feet, single tenant 8 points
Over 10,000 square feet, multiple tenants 10 points
(f) Entire condominium projects, using income
approach to value
5- to 30-unit project 6 points
31- or more-unit project 10 points
(g) Retail buildings
Fewer than 10,000 square feet 6 points
More than 10,000 square feet, single tenant 8 points
More than 10,000 square feet, multiple tenants 10 points
(h) Commercial, multi-unit, industrial,
or other nonresidential use acreage
1 to 99 acres 4-8 points
100 acres or more, income approach to value 10-12 points
(i) All other unusual structures or assignments 1 to 20
which are much larger or more complex than the points as
properties described in (a) to (h) herein. determined
by Board
(j) Entire Subdivisions or Planned Unit
Developments (PUDs)
1- to 25-unit subdivision or PUD 6 points
Over 25-unit subdivision or PUD 10 points
(k) Feasibility or market analysis, 1 to 20
maximum 100 points points as
determined
by Board
Farm and Ranch appraisals Form Narrative
(l) Separate grazing privileges 4 pts. 5 pts.
or permits
(m) Irrigated cropland, pasture other than
rangeland, 1 to 10 acres 2 pts. 3 pts.
11-50 acres 2.5 pts. 4 pts.
51-200 acres 3 pts. 5 pts.
201-1000 acres 5 pts. 8 pts.
More than 1000 acres 8 pts. 10 pts.
(n) Dry farm, 1 to 1000 acres 3 pts. 5 pts.
More than 1000 acres 4 pts. 8 pts.
(o) Improvements on properties other than
a rural residence, maximum 2 points:
Dwelling 1 pt. 1 pt.
Sheds 0.5 pt. 0.5 pt.
(p) Cattle ranches
0-200 head 3 pts. 4 pts.
201-500 head 5 pts. 6 pts.
501-1000 head 6 pts. 8 pts.
More than 1000 head 8 pts. 10 pts.
(q) Sheep ranches
0-2000 head 5 pts. 6 pts.
More than 2000 head 7 pts. 9 pts.
(r) Dairies, includes all improvements
except a dwelling
1-100 head 4 pts. 5 pts.
101-300 head 5 pts. 6 pts.
More than 300 head 6 pts. 7 pts.
(s) Orchards
5-50 acres 6 pts. 8 pts.
More than 50 acres 8 pts. 10 pts.
(t) Rangeland/timber
0-640 acres 4 pts. 5 pts.
More than 640 acres 6 pts. 7 pts.
(u) Poultry
0-100,000 birds 6 pts. 8 pts.
More than 100,000 birds 8 pts. 10 pts.
(v) Mink
0-5000 cages 6 pts. 7 pts.
More than 5000 cages 8 pts. 10 pts.
(w) Fish farms 8 pts. 10 pts.
(x) Hog farms 8 pts. 10 pts.
(y) Review of Table 2 appraisals with
no opinion of value developed as part
of the review performed in conjunction
with investigations by government agencies 4-20 points
104.15.2.1 Government Agency Experience. Applicants for certification as a State-Certified General Appraiser whose experience was earned primarily through review of appraisals that are listed on Table 2 with no opinion developed as part of the review that were performed in conjunction with investigations by government agencies will be required to submit proof of having performed at least eight Table 2 appraisals conforming to USPAP Standards 1 and 2.
104.15.2.2 Appraisals on commercial or multi-unit form reports shall be worth 75% of the points normally awarded for the appraisal.
104.15.3 Mass Appraisal Experience Points Schedule. The point schedule in Table 3 is intended to award one experience point for every five hours of mass appraisal activity.
TABLE 3
(a) One-unit dwelling, above-grade
living area less than 4,000 square feet
(1) Exterior inspection, highest and
best use analysis, data collection only .1 point
(2) Interior and exterior inspection,
highest and best use analysis, data
collection only .2 point
(3) Inspection, highest and best use
analysis, data collection, valuation
analysis, conclusion, report .75 point
(b) One-unit dwelling, above-grade
living area 4,000 square feet or more
(1) Exterior inspection, highest and
best use analysis, data collection only .15 point
(2) Interior and exterior inspection,
highest and best use analysis, data
collection only .3 point
(3) Inspection, highest and best use
analysis, data collection, valuation
analysis, conclusion, report 1 point
(c) Two to four unit dwelling
(1) Exterior inspection, highest and
best use analysis, data collection only .3 point
(2) Interior and exterior inspection,
highest and best use analysis, data
collection only .6 point
(3) Inspection, highest and best use
analysis, data collection, valuation
analysis, conclusion, report 3 points
(d) Commercial and industrial buildings,
depending on complexity
(1) Exterior inspection, highest and
best use analysis, data collection only .2 to 1 point
(2) Interior and exterior inspection,
highest and best use analysis, data
collection only .4 to 2 points
(3) Inspection, highest and best use
analysis, data collection, valuation
analysis, conclusion, report 1.5 to 7.5 points
(e) Agricultural and other improvements,
depending on complexity
(1) Exterior inspection, highest and
best use analysis, data collection only .1 to .5 point
(2) Interior and exterior inspection,
highest and best use analysis, data
collection only .2 to 1 point
(3) Inspection, highest and best use
analysis, data collection, valuation
analysis, conclusion, report .75 to 4 points
(f) Vacant land, depending on complexity
(1) Inspection, highest and best
use analysis, data collection only .1 to .5 point
(2) Inspection, highest and best
use analysis, data collection, valuation
analysis, conclusion, report .5 to 5 points
(3) Land segregation (division)
analysis and processing, no field
inspection .05 point
(4)Land segregation (division)
analysis and processing, field
inspection .1 point
(g) Data input and review for experience
points claimed under Subsections
R162-104-15.3(a) through (f) .01 point
(h) Land valuation guideline
(1) 25 or fewer parcels 2 points
(2) 26 to 500 parcels 6 points
(3) Over 500 parcels 5 additional
points for each
500 parcels, up
to a maximum of
25 points
(i) Assessment/sales ratio study, data
collection, verification, sample
inspection, analysis, conclusion, and
implementation
(1) Base study of 100 reviewed sales 25 points
(2) Additional increments of 100
sales Add 5 points
for each 100
additional
sales, up to a
maximum of 75
points
(j) Multiple Regression Model,
Development and Implementation
(1) Less than 5,000 parcels 20 points
(2) Additional increments of 500
parcels Add 1 point for
each additional
500 parcels, up
to a maximum of
75 points
(k) Depreciation study and analysis 20 points
(l) Reviews of "Land Value in Use"
in accordance with U.C.A. Section
59-2-505
(1)Office review only .05 point
(2) Field review .1 point
(m) Natural Resource Properties,
depending on complexity
(1) Sand and Gravel, per site 1.5 to 4 points
(2) Mine 1.5 to 22 points
(3) Oil and Gas, per site .33 to 10 points
(n) Pipelines and gas distribution
properties, depending on complexity 2 to 8 points
(o) Telephone and electrics properties,
depending on complexity 1 to 16 points
(p) Airline and railroad properties,
depending on complexity 2 to 16 points
(q) Appraisal review/audit, depending
on complexity .5 to 25 points
(r) Capitalization rate study 16 points
104.15.3.1 Single-property appraisals performed under USPAP Standards 1 and 2 by mass appraisers will receive the same number of points shown in Tables 1 and 2.
104.15.3.2 Review and supervision of appraisals by mass appraisers will receive points in accordance with Subsection R162-104.7.
104.15.3.3 Mass appraisers and mass appraisal trainees who perform 60% or more of the appraisal work will receive 100% of the points shown on Table 3. Mass appraisers and mass appraisal trainees who perform between 25% and 59% of the appraisal work will receive 50% of the points shown on Table 3. Mass appraisers and mass appraisal trainees who perform less than 25% of the appraisal work will receive no credit for the appraisal assignment.
104.15.3.4 Applicants for State-Licensed Appraiser whose experience was earned primarily through mass appraisal will be required to submit proof of having performed at least five appraisals conforming to USPAP Standards 1 and 2. Applicants for certification as a State-Certified Residential Appraiser whose experience was earned primarily through mass appraisal will be required to submit proof of having performed at least eight one-unit residential appraisals conforming to USPAP Standards 1 and 2. Applicants for certification as a State-Certified General Appraiser whose experience was earned primarily through mass appraisal will be required to submit proof of having performed at least eight Table 2 appraisals conforming to USPAP Standards 1 and 2.
104.15.3.5 No more than 60% of the total points submitted for licensure or certification may have been earned from Subsections R162-104.15.3(a)(1) and (2), R162-104.15.3(b)(1) and (2), R162-104.15.3(c)(1) and (2), R162- 104.15.3(d)(1) and (2), R162-104.15.3(e)(1) and (2), and R162-104.15.3(f)(1) combined.
104.15.3.6 No more than 25% of the total points submitted for licensure or certification may have been earned from Subsections R162-104.15.3(f)(3) and (4) combined.
104.15.3.7 No more than 20% of the total points submitted for licensure or certification may have been earned from Subsection R162-104.15.3(g).
104.15.3.8 Mass appraisal of property with a personal property component of less than 50% of value will be allowed the full experience points shown on Table 3 for the category of property appraised. Mass appraisal of property with a personal property component of 50% to 85% of value will be allowed 50% of the experience points shown on Table 3 for the category of property appraised. Mass appraisal of property with a personal property component greater than 85% will be awarded no experience points.
KEY
real estate appraisals, experience
Date of Enactment or Last Substantive Amendment
September 27, 2007
Notice of Continuation
February 15, 2007
Authorizing, Implemented, or Interpreted Law
61-2b-1 through 61-2b-40
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