-IR- Database Guide
-IR- Database: Indiana Register

TITLE 876 INDIANA REAL ESTATE COMMISSION

Proposed Rule
LSA Document #12-610

DIGEST

Amends 876 IAC 3-2-5 regarding the requirements to reinstate an expired license. Amends 876 IAC 3-3-3.1, 876 IAC 3-3-4.1, and 876 IAC 3-3-5.1 to remove expired language. Amends 876 IAC 3-3-9 to extend the time frame for acceptable experience credit. Amends 876 IAC 3-3-13.1 and 876 IAC 3-3-13.2 to identify the maximum hour value for each appraisal that may qualify for experience credit. Amends 876 IAC 3-5-1 clarifying the point at which a trainee licensee has to complete the USPAP continuing education course. Amends 876 IAC 3-5-1.5 regarding the time frame a licensee has to complete the USPAP continuing education course each renewal cycle. Makes other conforming and technical amendments Effective 30 days after filing with the Publisher.




SECTION 1. 876 IAC 3-2-5 IS AMENDED TO READ AS FOLLOWS:

876 IAC 3-2-5 Reinstatement of expired license

Authority: IC 25-1-8-2; IC 25-34.1-3-8


Sec. 5. (a) An expired license may be reinstated within one hundred twenty (120) days after its expiration by complying with section 4(b) of this rule and paying a reinstatement fee of twenty dollars ($20).

(b) If the license is renewed within one (1) year, but more than one hundred twenty (120) days after expiration, the licensee must comply with section 4(b) of this rule and pay a reinstatement fee of one hundred twenty-five dollars ($125).

(c) If the license is renewed within eighteen (18) months, but more than one (1) year after expiration, the licensee must comply with section 4(b) of this rule and pay a reinstatement fee of two hundred dollars ($200).

(d) If a licensee fails to reinstate a license within eighteen (18) months after expiration, the license may not be reinstated. To be licensed again, the individual must obtain a new license following the requirements of this article.

To reinstate an expired license, a licensee must:
(1) meet the requirements of IC 25-1-8-6;
(2) have obtained the number of qualifying continuing education hours that would have been required by the provisions of 876 IAC 3-5-1 had the license been active for all years the licensee was expired; and
(3) within the continuing education required by subdivision (2), have obtained seven (7) hours of Uniform Standards of Professional Appraisal Practice as required by 876 IAC 3-5-1.5 that covered the version of the Uniform Standards of Professional Appraiser Practice in effect at the time the application for reinstatement is filed.
(Indiana Real Estate Commission; 876 IAC 3-2-5; filed Sep 24, 1992, 9:00 a.m.: 16 IR 737; filed Dec 24, 1997, 11:00 a.m.: 21 IR 1758; readopted filed May 29, 2001, 10:00 a.m.: 24 IR 3238; filed Dec 3, 2002, 3:00 p.m.: 26 IR 1107; readopted filed Jul 19, 2007, 1:16 p.m.: 20070808-IR-876070068RFA)


SECTION 2. 876 IAC 3-3-3.1 IS AMENDED TO READ AS FOLLOWS:

876 IAC 3-3-3.1 Educational requirements for Indiana licensed trainee appraiser

Authority: IC 25-34.1-3-8
Affected: IC 25-34.1


Sec. 3.1. (a) This section establishes the educational requirements for the Indiana trainee appraiser license.
(b) The minimum prerequisite to sit for the Indiana trainee appraiser examination is ninety (90) classroom hours of specific course content stated in subsection (i). (g).

(c) A classroom hour is defined as fifty (50) minutes of classroom lecture out of each sixty (60) minute segment.

(d) Credit toward the classroom hour requirement may only be granted where the:
(1) length of the educational offering is at least fifteen (15) hours; and
(2) individual successfully completes an examination pertinent to that educational offering.

(e) Credit for the classroom hour requirement must be from a course, including a distance learning course, approved by the Appraisal Qualifications Board.

(f) For applications filed before January 1, 2010, subsection (e) shall not apply to a course taken before January 1, 2008, as long as the course meets all the requirements of this section except for subsection (e).

(g) (f) Qualifying education credit will be accepted regardless of when the courses were taken as long as they were taken before the application was filed.

(h) (g) The minimum classroom hours shall be as follows:
  Basic appraisal principles  30 
  Basic appraisal procedures  30 
  The fifteen (15) hour National Uniform Standards of Professional Appraisal Practice course or its equivalent  15 
  Electives – in any other topic allowed under section 4.1(l) 4.1(i) or 5.1(l) 5.1(h) of this rule  15 
  TOTAL  90 

(i) (h) For a course to meet the fifteen (15) hours of Uniform Standards of Professional Appraisal Practice requirement under subsection (h) (g) after December 31, 2003, the instructor must be:
(1) an Appraiser Qualification Board certified Uniform Standards of Professional Appraisal Practice instructor; and
(2) a state certified residential or certified general real estate appraiser.
However, if the course is taught by two (2) or more instructors, only one (1) is required to have been a state certified residential or certified general real estate appraiser.

(j) (i) Notwithstanding subsection (i), (h), the fifteen (15) hours of Uniform Standards of Professional Appraisal Practice course will meet the requirements under subsection (h) (g) if the course was taken before January 1, 2004.
(Indiana Real Estate Commission; 876 IAC 3-3-3.1; filed Dec 8, 1993, 4:00 p.m.: 17 IR 773; readopted filed May 29, 2001, 10:00 a.m.: 24 IR 3238; readopted filed Jul 19, 2007, 1:16 p.m.: 20070808-IR-876070068RFA; filed Aug 15, 2007, 10:01 a.m.: 20070912-IR-876060095FRA, eff Jan 1, 2008)


SECTION 3. 876 IAC 3-3-4.1 IS AMENDED TO READ AS FOLLOWS:

876 IAC 3-3-4.1 Educational requirements for Indiana certified residential appraiser

Authority: IC 25-34.1-3-8
Affected: IC 25-34.1


Sec. 4.1. (a) This section establishes the educational requirements for an Indiana certified residential appraiser.

(b) The minimum prerequisite to sit for the Indiana certified residential appraiser examination is two hundred (200) classroom hours of specific course content stated in subsection (l) (i) and meeting the requirements in subsection (j) (g) or (k). (h).

(c) A classroom hour is defined as fifty (50) minutes of classroom lecture out of each sixty (60) minute segment.

(d) Credit toward the classroom hour requirement may only be granted where the:
(1) length of the educational offering is at least fifteen (15) hours; and
(2) individual successfully completes an examination pertinent to that educational offering.

(e) Credit for the classroom hour requirement must be from a course, including a distance learning course, approved by the Appraisal Qualifications Board.

(f) For applications filed before January 1, 2010, subsection (e) shall not apply to a course taken before January 1, 2008, as long as the course meets all the requirements of this section except for subsection (e).

(g) (f) Qualifying education credit will be accepted regardless of when the courses were taken as long as they were taken before the application was filed.

(h) The board may grant credit for courses where the applicant obtained credit from the course provider by challenge examination without attending the courses, provided that the:
(1) credit was granted by the course provider before July 1, 1990; and
(2) course meets the requirements of this rule.

(i) (g) Applicants for licensure as a certified residential appraiser must hold an associate degree or higher from an accredited college or university or community or junior college.

(j) (h) Notwithstanding subsection (i), (g), in lieu of an associate degree, an applicant for licensure as a certified residential appraiser must successfully complete twenty-one (21) semester credit hours in the following subject matter courses from an accredited college or university, or junior or community college:
(1) English composition.
(2) Principles of microeconomics or macroeconomics.
(3) Finance.
(4) Algebra, geometry, or higher mathematics.
(5) Statistics.
(6) Introduction to computers, including word processing and spreadsheets.
(7) Business or real estate law.

(k) (i) The minimum classroom hours shall be as follows:
  Basic appraisal principles  30 
  Basic appraisal procedures  30 
  The fifteen (15) hour National Uniform Standards of Professional   
  Appraisal Practice course or its equivalent  15 
  Residential market analysis and highest and best use  15 
  Residential appraiser site valuation and cost approach  15 
  Residential sales comparison and income approaches  30 
  Residential report writing and case studies  15 
  Statistics, modeling, and finance  15 
  Advanced residential applications and case studies  15 
  Appraisal subject matter electives  20 
  TOTAL  200 

(l) (j) For a course to meet the fifteen (15) hours of Uniform Standards of Professional Appraisal Practice requirement under subsection (k) (i) after December 31, 2003, the instructor must be:
(1) an Appraiser Qualification Board certified Uniform Standards of Professional Appraisal Practice instructor; and
(2) a state certified residential or certified general real estate appraiser.
However, if the course is taught by two (2) or more instructors, only one (1) is required to have been a state certified residential or certified general real estate appraiser.

(m) (k) Notwithstanding subsection (l), (j), the fifteen (15) hours of Uniform Standards of Professional Appraisal Practice course will meet the requirements under subsection (k) (i) if the course was taken prior to January 1, 2004.
(Indiana Real Estate Commission; 876 IAC 3-3-4.1; filed Aug 15, 2007, 10:01 a.m.: 20070912-IR-876060095FRA, eff Jan 1, 2008)


SECTION 4. 876 IAC 3-3-5.1 IS AMENDED TO READ AS FOLLOWS:

876 IAC 3-3-5.1 Educational requirements for Indiana certified general appraiser

Authority: IC 25-34.1-3-8
Affected: IC 25-34.1


Sec. 5.1. (a) This section establishes the educational requirements for an Indiana certified general appraiser.

(b) The prerequisite to sit for the Indiana certified general appraiser examination is three hundred (300) classroom hours with specific course content stated in subsection (l) (h) and meeting the requirements in subsection (j) (f) or (k). (g).

(c) A classroom hour is defined as fifty (50) minutes of classroom lecture out of each sixty (60) minute segment.

(d) Credit toward the classroom hour requirement may only be granted where the:
(1) length of the educational offering is at least fifteen (15) hours; and
(2) individual successfully completes an examination pertinent to that educational offering.

(e) Credit for the classroom hour requirement must be from a course, including a distance learning course, approved by the Appraisal Qualifications Board.

(f) For applications filed before January 1, 2010, subsection (e) shall not apply to a course taken before January 1, 2008, as long as the course meets all the requirements of this section except for subsection (e).

(g) Credit toward the classroom hour requirement may be awarded to teachers of appraisal courses meeting the requirements of this rule.

(h) Qualifying education credit will be accepted regardless of when the courses were taken as long as they were taken before the application was filed.

(i) The board may grant credit for courses where the applicant obtained credit from the course provider by challenge examination without attending the courses, provided that the:
(1) credit was granted by the course provider before July 1, 1990; and
(2) course meets the requirements of this rule.

(j) (f) Applicants for licensure as a certified general appraiser must hold a bachelor's degree or higher from an accredited college or university or community or junior college.

(k) (g) Notwithstanding subsection (j), (f), in lieu of a bachelor's degree, an applicant for licensure as a certified general appraiser must successfully complete thirty (30) semester credit hours in the following subject matter courses from an accredited college, university, or junior or community college:
(1) English composition.
(2) Microeconomics.
(3) Macroeconomics.
(4) Finance.
(5) Algebra, geometry, or higher mathematics.
(6) Statistics.
(7) Introduction to computers, including word processing and spreadsheets.
(8) Business or real estate law.
(9) Two (2) elective courses in any of the following:
(A) Accounting.
(B) Geography.
(C) Ag-economics.
(D) Business management.
(E) Real estate.

(l) (h) The minimum classroom hours shall be as follows:
  Basic appraisal principles  30 
  Basic appraisal procedures  30 
  The fifteen (15) hour National Uniform Standards of Professional   
  Appraisal Practice course or its equivalent  15 
  General appraiser market analysis and highest and best use  30 
  Statistics, modeling, and finance  15 
  General appraiser sales comparison approach  30 
  General appraiser site valuation and cost approach  30 
  General appraiser income approach  60 
  General appraiser report writing and case studies  30 
  Appraisal subject matter electives  30 
  TOTAL  300 

(m) (i) For a course to meet the fifteen (15) hours Uniform Standards of Professional Appraisal Practice requirement under subsection (k) (h) after December 31, 2003, the instructor must be:
(1) an Appraiser Qualification Board certified Uniform Standards of Professional Appraisal Practice instructor; and
(2) a state certified residential or certified general real estate appraiser.
However, if the course is taught by two (2) or more instructors, only one (1) is required to have been a state certified residential or certified general real estate appraiser.

(n) (j) Notwithstanding subsection (m), (i), the fifteen (15) hours of Uniform Standards of Professional Appraisal Practice course will meet the requirements under subsection (l) (h) if the course was taken before January 1, 2004.
(Indiana Real Estate Commission; 876 IAC 3-3-5.1; filed Aug 15, 2007, 10:01 a.m.: 20070912-IR-876060095FRA, eff Jan 1, 2008)


SECTION 5. 876 IAC 3-3-9 IS AMENDED TO READ AS FOLLOWS:

876 IAC 3-3-9 Experience requirements for three licenses issued by the board

Authority: IC 25-34.1-3-8
Affected: IC 25-34.1


Sec. 9. (a) This section and sections 10 through 13.2 of this rule establish the experience requirements for the licenses issued by the board except for the Indiana trainee appraiser license, which has no experience requirements.

(b) To qualify At least fifty percent (50%) of the appraisals claimed for experience credit an appraisal must have been performed during the sixty (60) months preceding the filing of the application.

(c) Notwithstanding the five (5) year retention requirement of the Uniform Standards of Professional Appraisal Practice, in order for an appraisal to qualify for experience credit regardless of when the appraisal was done, the applicant must have the appraisal report and file available for board review under subsection (d) or (e). Submission of appraisals that are not in substantial compliance with the version of the Uniform Standards of Professional Appraisal Practice (as adopted in 876 IAC 3-6-2 and 876 IAC 3-6-3) in effect on the inspection date of the appraisal may result in the denial of the appraisal experience required for licensure as:
(1) a certified residential appraiser; and
(2) a certified general appraiser.

(c) (d) An applicant for certified residential appraiser shall submit, on a form prescribed by the board, two thousand five hundred (2,500) hours of appraisal experience that the applicant has performed. The experience must be obtained over a period of at least twenty-four (24) months before the filing of the application. The board may request documentation in the form of reports or filed file memoranda or for any appraisal in support of the claim for experience.

(d) (e) An applicant for certified general appraiser shall submit, on a form prescribed by the board, three thousand (3,000) hours of appraisal experience that the applicant has performed over a period of not less than thirty (30) months. At least two thousand (2,000) hours must be in the general category. The board may request documentation in the form of reports or file memoranda or for any appraisal in support of the claim for experience.
(Indiana Real Estate Commission; 876 IAC 3-3-9; filed Sep 24, 1992, 9:00 a.m.: 16 IR 741; filed Dec 8, 1993, 4:00 p.m.: 17 IR 775; filed Dec 24, 1997, 11:00 a.m.: 21 IR 1761, eff Jan 1, 1998 [IC 4-22-2-36 suspends the effectiveness of a rule document for thirty (30) days after filing with the secretary of state. LSA Document #97-65 was filed Dec 24, 1997.]; readopted filed May 29, 2001, 10:00 a.m.: 24 IR 3238; readopted filed Jul 19, 2007, 1:16 p.m.: 20070808-IR-876070068RFA; filed Aug 15, 2007, 10:01 a.m.: 20070912-IR-876060095FRA, eff Jan 1, 2008)


SECTION 6. 876 IAC 3-3-13.1 IS AMENDED TO READ AS FOLLOWS:

876 IAC 3-3-13.1 Hour value of residential appraisal work established

Authority: IC 25-34.1-3-8
Affected: IC 25-34.1


Sec. 13.1. (a) This section establishes the maximum value of residential appraisal work that may qualify for experience credit. An applicant may receive credit for actual time spent on an appraisal up to the maximum hour value allowed for the type of appraisal performed. The following table establishes the hour value of residential appraisal work that may qualify for experience credit: states the maximum values:
RESIDENTIAL/FARM FORM APPRAISALS 
Form Name  Form #  APPRAISAL  DOCUMENTARY REVIEW 
WORK PERFORMED  (NAME)  PERFORMED BY APPLICANT  WITH FIELD REVIEW AND SEPARATE REPORT  WITHOUT FIELD REVIEW AND SEPARATE REPORT 
II  III 
Maximum Hours  Maximum Hours  Maximum Hours 
Value  Value  Value 
Uniform Residential Appraisal Report URAR  URAR  4.5 9  2.5 5  2 4 
 
Individual Condominium Unit Appraisal Report         
  – Interior & Exterior Inspection  465/1073  4.5 9  2.5 5  2 4 
  – Exterior only Inspection  1075  3 6  2.5 5  2 4 
 
Individual Cooperative Interest Appraisal Report         
  – Interior & Exterior Inspection  2090  4.5 9  2.5 5  2 4 
  – Exterior only Inspection  2095  3 6  2.5 5  2 4 
 
Quantitative Analysis Appraisal Report  2055       
  – Interior & Exterior Inspection    4.5 9  2.5 5  2 4 
  – Exterior only Inspection    3 6  2.5 5  2 4 
 
Qualitative Analysis Appraisal Report  2065       
  – Interior & Exterior Inspection    3 6  2.5 5  2 4 
  – Exterior only Inspection    2.5 5  2.5 5  2 4 
 
Land Appraisal (Narrative)  N/A  4 8  2.5 5  2 4 
 
Employee Relocation Council Summary  ERC  7 14  2.5 5  2 4 
 
Small Residential Income Property Report  1025  5.5 11  2.5 5  2 4 
 
Manufactured Home Appraisal Report  72/1004C  4.5 9  2.5 5  2 4 
 
Noncategorized Residential Appraisal         
Noncategorized Residential Appraisal         
Noncategorized Residential Appraisal         
Noncategorized Residential Appraisal         
Noncategorized Residential Appraisal         
Noncategorized Residential Appraisal         
Noncategorized Residential Appraisal         
Noncategorized Residential Appraisal         
Noncategorized Residential Appraisal         
Noncategorized Residential Appraisal         
 
Appraisal Report - Farm Tract  1922-1       
(1) SELF-CONTAINED         
  a. 3 approaches    15 30  7.5 15  3.75 7.5 
  b. 2 approaches    12 24  6 12  3 6 
  c. 1 approach    9 18  4.5 9  2.25 4.5 
(2) SUMMARY         
  a. 3 approaches    12 24  6 12  3 6 
  b. 2 approaches    9 18  4.5 9  2.25 4.5 
  c. 1 approach    6 12  3 6  1.5 3 
(3) RESTRICTED         
  a. 3 approaches    9 18  4.5 9  2.25 4.5 
  b. 2 approaches    6 12  3 6  1.5 3 
  c. 1 approach    3 6  1.5 3  0.75 1.5 
RESIDENTIAL - RIGHT OF WAY APPRAISALS 
WORK PERFORMED  APPRAISAL  DOCUMENTARY REVIEW 
PERFORMED BY APPLICANT  WITH FIELD REVIEW AND SEPARATE REPORT  WITHOUT FIELD REVIEW AND SEPARATE REPORT 
II  III 
Maximum Hours  Maximum Hours  Maximum Hours 
Value  Value  Value 
(A) PROPERTY TYPE-Residential Land       
(1) Long Form       
a. 3 approaches  NA  NA  NA 
b. 2 approaches  NA  NA  NA 
c. 1 approach  20 40  10 20  5 10 
(2) Short Form       
a. 3 approaches  NA  NA  NA 
b. 2 approaches  NA  NA  NA 
c. 1 approach  10 20  5 10  2.5 5 
(3) Value Finding       
a. 3 approaches  NA  NA  NA 
b. 2 approaches  NA  NA  NA 
c. 1 approach  8 16  4 8  2 4 
(3) (4) Waiver Valuation       
a. 3 approaches  N/A  N/A  N/A 
b. 2 approaches  N/A  N/A  N/A 
c. 1 approach  4 8  N/A  N/A 
(B) PROPERTY TYPE-Residential       
Improved Single Family       
(1) Long Form       
a. 3 approaches  30 60  15 30  7.5 15 
b. 2 approaches  25 50  12.5 25  6.25 12.5 
c. 1 approach  20 40  10 20  5 10 
(2) Short Form       
a. 3 approaches  25 50  12.5 25  6.25 12.5 
b. 2 approaches  20 40  10 20  5 10 
c. 1 approach  15 30  7.5 15  3.75 7.5 
(3) Value Finding       
a. 3 approaches  NA  NA  NA 
b. 2 approaches  NA  NA  NA 
c. 1 approach  8 16  4 8  2 4 
(3) (4) Waiver Valuation       
a. 3 approaches  N/A  N/A  N/A 
b. 2 approaches  N/A  N/A  N/A 
c. 1 approach  4 8  N/A  N/A 
(C) PROPERTY TYPE-Residential       
2- 4 Family       
(1) Long Form       
a. 3 approaches  35 70  17.5 35  8.75 17.5 
b. 2 approaches  30 60  15 30  7.5 15 
c. 1 approach  25 50  12.5 25  6.25 12.5 
(2) Short Form       
a. 3 approaches  30 60  15 30  7.5 15 
b. 2 approaches  25 50  12.5 25  6.25 12.5 
c. 1 approach  20 40  10 20  5 10 
(3) Value Finding       
a. 3 approaches  NA  NA  NA 
b. 2 approaches  NA  NA  NA 
c. 1 approach  8 16  4 8  2 4 
(3) Waiver Valuation       
a. 3 approaches  N/A  N/A  N/A 
b. 2 approaches  N/A  N/A  N/A 
c. 1 approach  4 8  N/A  N/A 

(b) The hour value of other appraisal work, whether it be in the residential or the general category, shall be the actual number of hours, provided that this is a reasonable number of hours. Not more than one hundred (100) hours per appraisal assignment will be granted.
(Indiana Real Estate Commission; 876 IAC 3-3-13.1; filed Aug 15, 2007, 10:01 a.m.: 20070912-IR-876060095FRA)


SECTION 7. 876 IAC 3-3-13.2 IS AMENDED TO READ AS FOLLOWS:

876 IAC 3-3-13.2 Hour value of general category appraisal work established

Authority: IC 25-34.1-3-8
Affected: IC 25-34.1


Sec. 13.2. (a) This section establishes the maximum value of general category appraisal work that may qualify for experience credit. An applicant may receive credit for actual time spent on an appraisal up to the maximum hour value allowed for the type of appraisal performed. The following table establishes the hour value of general category appraisal work that may qualify for experience credit. states the maximum values:
GENERAL CATEGORY 
WORK PERFORMED  APPRAISAL  DOCUMENTARY REVIEW 
PERFORMED BY APPLICANT  WITH FIELD REVIEW AND SEPARATE REPORT  WITHOUT FIELD REVIEW AND SEPARATE REPORT 
II  III 
Maximum Hours  Maximum Hours  Maximum Hours 
Value  Value  Value 
(A) PROPERTY TYPE-LAND       
(1) SELF-CONTAINED       
a. Subdivision  40 80  20 40  10 20 
b. = OR > 10 Acres  18 36  9 18  4.5 9 
c. < 10 Acres  10 20  5 10  2.5 5 
(2) SUMMARY       
a. Subdivision  35 70  17.5 35  8.75 17.5 
b. = OR > 10 Acres  14 28  7 14  3.5 7 
c. < 10 Acres  8 16  4 8  2 4 
(3) RESTRICTED       
a. Subdivision  30 60  15 30  7.5 15 
b. = OR > 10 Acres  10 20  5 10  2.5 5 
c. < 10 Acres  5 10  2.5 5  1.25 2.5 
(B) PROPERTY TYPE-Multi-Family       
Existing 5-12 Units       
(1) SELF-CONTAINED       
a. 3 approaches  25 50  12.5 25  6.25 12.5 
b. 2 approaches  20 40  10 20  5 10 
c. 1 approach  15 30  7.5 15  3.75 7.5 
(2) SUMMARY       
a. 3 approaches  20 40  10 20  5 10 
b. 2 approaches  15 30  7.5 15  3.75 7.5 
c. 1 approach  10 20  5 10  2.5 5 
(3) RESTRICTED       
a. 3 approaches  15 30  7.5 15  3.75 7.5 
b. 2 approaches  10 20  5 10  2.5 5 
c. 1 approach  5 10  2.5 5  1.25 2.5 
(C) PROPERTY TYPE-Multi-Family       
Existing 13+ Units       
(1) SELF-CONTAINED       
a. 3 approaches  40 80  20 40  10 20 
b. 2 approaches  35 70  17.5 35  8.75 17.5 
c. 1 approach  30 60  15 30  7.5 15 
(2) SUMMARY       
a. 3 approaches  35 70  17.5 35  8.75 17.5 
b. 2 approaches  30 60  15 30  7.5 15 
c. 1 approach  25 50  12.5 25  6.25 12.5 
(3) RESTRICTED       
a. 3 approaches  30 60  15 30  7.5 15 
b. 2 approaches  25 50  12.5 25  6.25 12.5 
c. 1 approach  20 40  10 20  5 10 
(D) PROPERTY TYPE-Multi-Family       
Proposed 5-12 Units       
(1) SELF-CONTAINED       
a. 3 approaches  35 70  17.5 35  8.75 17.5 
b. 2 approaches  30 60  15 30  7.5 15 
c. 1 approach  25 50  12.5 25  6.25 12.5 
(2) SUMMARY       
a. 3 approaches  30 60  15 30  7.5 15 
b. 2 approaches  25 50  12.5 25  6.25 12.5 
c. 1 approach  20 40  10 20  5 10 
(3) RESTRICTED       
a. 3 approaches  25 50  12.5 25  6.25 12.5 
b. 2 approaches  20 40  10 20  5 10 
c. 1 approach  15 30  7.5 15  3.75 7.5 
WORK PERFORMED  APPRAISAL  DOCUMENTARY REVIEW 
PERFORMED BY APPLICANT  WITH FIELD REVIEW AND SEPARATE REPORT  WITHOUT FIELD REVIEW AND SEPARATE REPORT 
II  III 
Maximum Hours  Maximum Hours  Maximum Hours 
Value  Value  Value 
(E) PROPERTY TYPE-Multi-Family       
Proposed 13+ Units       
(1) SELF-CONTAINED       
a. 3 approaches  50 100  25 50  12.5 25 
b. 2 approaches  45 90  22.5 45  11.25 22.5 
c. 1 approach  40 80  20 40  10 20 
(2) SUMMARY       
a. 3 approaches  45 90  22.5 45  11.25 22.5 
b. 2 approaches  40 80  20 40  10 20 
c. 1 approach  35 70  17.5 35  8.75 17.5 
(3) RESTRICTED       
a. 3 approaches  40 80  20 40  10 20 
b. 2 approaches  35 70  17.5 35  8.75 17.5 
c. 1 approach  30 60  15 30  7.5 15 
(F) PROPERTY TYPE-Commercial/Industrial       
Existing or Proposed Single User       
(1) SELF-CONTAINED       
a. 3 approaches  30 60  15 30  7.5 15 
b. 2 approaches  25 50  12.5 25  6.25 12.5 
c. 1 approach  20 40  10 20  5 10 
(2) SUMMARY       
a. 3 approaches  25 50  12.5 25  6.25 12.5 
b. 2 approaches  20 40  10 20  5 10 
c. 1 approach  15 30  7.5 15  3.75 7.5 
(3) RESTRICTED       
a. 3 approaches  20 40  10 20  5 10 
b. 2 approaches  15 30  7.5 15  3.75 7.5 
c. 1 approach  10 20  5 10  2.5 5 
(G) PROPERTY TYPE-Commercial/Industrial       
Existing Multi-Tenant       
(1) SELF-CONTAINED       
a. 3 approaches  50 100  25 50  12.5 25 
b. 2 approaches  40 80  20 40  10 20 
c. 1 approach  30 60  15 30  7.5 15 
(2) SUMMARY       
a. 3 approaches  40 80  20 40  10 20 
b. 2 approaches  30 60  15 30  7.5 15 
c. 1 approach  20 40  10 20  5 10 
(3) RESTRICTED       
a. 3 approaches  30 60  15 30  7.5 15 
b. 2 approaches  20 40  10 20  5 10 
c. 1 approach  10 20  5 10  2.5 5 
(H) PROPERTY TYPE-Commercial/Industrial       
Proposed Multi-Tenant       
(1) SELF-CONTAINED       
a. 3 approaches  60 120  30 60  15 30 
b. 2 approaches  50 100  25 50  12.5 25 
c. 1 approach  40 80  20 40  10 20 
(2) SUMMARY       
a. 3 approaches  50 100  25 50  12.5 25 
b. 2 approaches  40 80  20 40  10 20 
c. 1 approach  30 60  15 30  7.5 15 
(3) RESTRICTED       
a. 3 approaches  40 80  20 40  10 20 
b. 2 approaches  30 60  15 30  7.5 15 
c. 1 approach  20 40  10 20  5 10 
 
GENERAL - RIGHT OF WAY APPRAISALS 
WORK PERFORMED  APPRAISAL  DOCUMENTARY REVIEW 
PERFORMED BY APPLICANT  WITH FIELD REVIEW AND SEPARATE REPORT  WITHOUT FIELD REVIEW AND SEPARATE REPORT 
II  III 
Maximum Hours  Maximum Hours  Maximum Hours 
Value  Value  Value 
(A) PROPERTY TYPE-Multi-Family R/W       
5-12 Units       
(1) Long Form       
a. 3 approaches  45 90  22.5 45  11.25 22.5 
b. 2 approaches  40 80  20 40  10 20 
c. 1 approach  35 70  17.5 35  8.75 17.5 
(2) Short Form       
a. 3 approaches  40 80  20 40  10 20 
b. 2 approaches  35 70  17.5 35  8.75 17.5 
c. 1 approach  20 40  10 20  5 10 
(3) Value Finding       
a. 3 approaches  NA  NA  NA 
b. 2 approaches  NA  NA  NA 
c. 1 approach  8 16  4 8  2 4 
(3) Waiver Valuation       
a. 3 approaches  N/A  N/A  N/A 
b. 2 approaches  N/A  N/A  N/A 
c. 1 approach  4 8  N/A  N/A 
(M) PROPERTY TYPE-Multi-Family R/W       
13+ Units       
(J) Long Form       
a. 3 approaches  50 100  25 50  12.5 25 
b. 2 approaches  45 90  22.5 45  11.25 22.5 
c. 1 approach  40 80  20 40  10 20 
(2) Short Form       
a. 3 approaches  45 90  22.5 45  11.25 22.5 
b. 2 approaches  40 80  20 40  10 20 
c. 1 approach  35 70  17.5 35  8.75 17.5 
(3) Value Finding       
a. 3 approaches  NA  NA  NA 
b. 2 approaches  NA  NA  NA 
c. 1 approach  8 16  4 8  2 4 
(3) Waiver Valuation       
a. 3 approaches  N/A  N/A  N/A 
b. 2 approaches  N/A  N/A  N/A 
c. 1 approach  4 8  N/A  N/A 
(N) PROPERTY TYPE-Commercial/Industrial R/W       
Single Tenant       
(1) Long Form       
a. 3 approaches  60 120  30 60  15 30 
b. 2 approaches  50 100  25 50  12.5 25 
c. 1 approach  40 80  20 40  10 20 
(2) Short Form       
a. 3 approaches  50 100  25 50  12.5 25 
b. 2 approaches  40 80  20 40  10 20 
c. 1 approach  30 60  15 30  7.5 15 
(3) Value Finding       
a. 3 approaches  N/A  N/A  N/A 
b. 2 approaches  N/A  N/A  N/A 
c. 1 approach  8 16  4 8  2 4 
(3) Waiver Valuation       
a. 3 approaches  N/A  N/A  N/A 
b. 2 approaches  N/A  N/A  N/A 
c. 1 approach  4 8  N/A  N/A 
(O) PROPERTY TYPE-Commercial/Industrial R/W       
Multi-Tenant Tenant       
(1) Long Form       
a. 3 approaches  80 160  40 80  20 40 
b. 2 approaches  70 140  35 70  17.5 35 
c. 1 approach  60 120  30 60  15 30 
(2) Short Form       
a. 3 approaches  70 140  35 70  17.5 35 
b. 2 approaches  60 120  30 60  15 30 
c. 1 approach  50 100  25 50  12.5 25 
(3) Value Finding       
a. 3 approaches  N/A  N/A  N/A 
b. 2 approaches  N/A  N/A  N/A 
c. 1 approach  8 16  4 8  2 4 
(3) Waiver Valuation       
a. 3 approaches  N/A  N/A  N/A 
b. 2 approaches  N/A  N/A  N/A 
c. 1 approach  4 8  N/A  N/A 

(b) The hour value of other appraisal work, whether it be in the residential or the general category, shall be the actual number of hours, provided that this is a reasonable number of hours. Not more than one hundred (100) sixty (160) hours per appraisal assignment will be granted.
(Indiana Real Estate Commission; 876 IAC 3-3-13.2; filed Aug 15, 2007, 10:01 a.m.: 20070912-IR-876060095FRA)


SECTION 8. 876 IAC 3-5-1 IS AMENDED TO READ AS FOLLOWS:

876 IAC 3-5-1 Continuing education requirements

Authority: IC 25-34.1-3-8
Affected: IC 25-1-4; IC 25-34.1


Sec. 1. (a) Except as otherwise provided in subsection (b), as a prerequisite to renewal of a real estate appraiser license or certification, excluding a trainee license during the first five (5) years of licensure, the licensee or certificate holder shall satisfactorily complete twenty-eight (28) classroom hours of continuing education within that two (2) year renewal period from real estate appraiser continuing education courses approved by the Appraiser Qualifications Board as provided for in IC 25-1-4-0.5(1)(B) or by the board under this rule. Notwithstanding the normal twenty-eight (28) hour requirement for two (2) year renewal periods, for the renewal of licenses or certificates that expire on June 30, 2008, the licensee or certificate holder must satisfactorily complete thirty-five (35) classroom hours of continuing education courses approved by the Appraiser Qualifications Board as provided for in IC 25-1-4-0.5(1)(B) or by the board under this rule. The twenty-eight (28) hours shall include seven (7) hours of Uniform Standards of Professional Appraisal Practice in the manner specified in section 1.5 of this rule.

(b) Notwithstanding subsection (a), as follows:
However, a licensee (1) A license or certificate holder initially licensed within the last one hundred eighty-five (185) days of a two (2) year renewal period shall not be required to obtain any hours of continuing education For licenses or certificates that expire on June 30, 2008, the one hundred eighty-five (185) day period shall be one hundred eighty-five (185) days before June 30, 2008. for that renewal period.
(2) A licensed trainee appraiser shall not be required to obtain continuing education in the first five (5) years of licensure as detailed in subsection (c) except that a licensed trainee appraiser shall be required to obtain the seven (7) hours of Uniform Standards of Professional Appraisal Practice in the manner specified in section 1.5 of this rule in every renewal period. However, a licensed trainee appraiser initially licensed within the last one hundred eighty-five (185) days of a two (2) year renewal period shall not be required to obtain the seven (7) hours of continuing education required by this subdivision for that renewal period.

(b) (c) After holding a licensed trainee appraiser license for a five (5) year period, a trainee is required to satisfactorily complete the continuing education requirement in each following renewal cycle:
(1) If the five (5) year period ends in the first year of a two (2) year renewal cycle, the trainee will be required to complete fourteen (14) hours of continuing education for the remainder of that renewal period.
(2) If the five (5) year period ends in the second year of two (2) year renewal cycle, the trainee shall not be required to obtain any hours of continuing education for that renewal cycle.
(3) For licensed trainee appraiser licenses that expire on June 30, 2008, the first year under subdivision (1) shall be considered to have ended on December 31, 2006, and the second year under subdivision (2) shall be considered to have started on January 1, 2007, and ended on June 30, 2008.

(c) (d) The following criteria apply to determine the number of hours:
(1) A classroom hour of instruction is defined as fifty (50) minutes of each sixty (60) minute hour segment.
(2) Credit toward the classroom hour requirement may be granted only where the length of the educational offering is at least two (2) hours.

(d) (e) Notwithstanding subsection (a), up to fifty percent (50%) of continuing education credit may be granted for participation, other than as a student in appraisal educational programs, as follows:
(1) Teaching.
(2) Program development.
(3) Authorship of textbooks.

(e) (f) A licensee is not entitled to continuing education credit for any classroom hours that were used for required prelicensure education under 876 IAC 3-3.

(f) (g) The continuing education requirement is to ensure that appraisers participate in educational programs that maintain and increase their skill, knowledge, and competency in real estate appraising.

(g) (h) The board may verify any information concerning continuing education that is submitted by the licensee or certificate holder as evidence supporting the course information. The board may require licensees or certificate holders to provide information regarding the continuing education hours claimed on the individual's renewal. Failure to do so may lead to action under IC 25-1-4-5 or IC 25-1-4-6.

(h) (i) It is the responsibility of each licensee or certificate holder to retain evidence to support the courses taken for a period of three (3) years after the end of the renewal period for which the renewal application is submitted to the board. These records shall include one (1) or more of the following:
(1) Course attendance verification by the sponsor.
(2) Certificates of course completion.
(3) Continuing education attendance history by employer or third party.
(4) Other evidence of support and justification.
(Indiana Real Estate Commission; 876 IAC 3-5-1; filed Sep 24, 1992, 9:00 a.m.: 16 IR 747; filed Dec 8, 1993, 4:00 p.m.: 17 IR 779; filed Apr 10, 1995, 10:00 a.m.: 18 IR 2123; filed Dec 24, 1997, 11:00 a.m.: 21 IR 1764, eff Jan 1, 1998 [IC 4-22-2-36 suspends the effectiveness of a rule document for thirty (30) days after filing with the secretary of state. LSA Document #97-65 was filed Dec 24, 1997.]; filed Apr 12, 2001, 12:30 p.m.: 24 IR 2705, eff Jan 2, 2002; readopted filed May 29, 2001, 10:00 a.m.: 24 IR 3238; filed Aug 6, 2003, 12:00 p.m.: 27 IR 184; readopted filed Jul 19, 2007, 1:16 p.m.: 20070808-IR-876070068RFA; filed May 5, 2008, 11:08 a.m.: 20080604-IR-876070881FRA; filed May 5, 2008, 11:21 a.m.: 20080604-IR-876070338FRA; errata filed May 20, 2008, 1:21 p.m.: 20080604-IR-876070338ACA)


SECTION 9. 876 IAC 3-5-1.5 IS AMENDED TO READ AS FOLLOWS:

876 IAC 3-5-1.5 Mandatory continuing education courses; Uniform Standards of Professional Appraisal Practice

Authority: IC 25-34.1-3-8


Sec. 1.5. Every renewal period, (a) The continuing education required by section 1 of this rule must include seven (7) hours of Uniform Standards of Professional Appraisal Practice.

(b) The continuing education required by subsection (a) must be:
(1) obtained no later than six (6) months after the effective date of a new edition of the Uniform Standards of Professional Appraisal Practice; and
(2) an updated version to cover the new edition.

(c) If the updated course required by subsection (b) is available before the effective date of a new edition of the Uniform Standards of Professional Appraisal Practice, a real estate appraiser who takes that course before the effective date complies with subsection (b).
(Indiana Real Estate Commission; 876 IAC 3-5-1.5; filed Apr 12, 2001, 12:30 p.m.: 24 IR 2707, eff Jan 2, 2002; readopted filed May 29, 2001, 10:00 a.m.: 24 IR 3238; filed Aug 6, 2003, 12:00 p.m.: 27 IR 185, eff Jan 2, 2004; readopted filed Jul 19, 2007, 1:16 p.m.: 20070808-IR- 876070068RFA; filed May 5, 2008, 11:21 a.m.: 20080604-IR-876070338FRA; filed Feb 3, 2009, 10:12 a.m.: 20090304-IR-876080357FRA)



Posted: 05/08/2013 by Legislative Services Agency

DIN: 20130508-IR-876120610PRA
Composed: Jul 26,2014 4:00:13PM EDT
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