Comments Document

Chairman Leftwich and Members of the House General Laws Committee: The Appraisal Institute (AI) appreciates the opportunity to offer the following written comments in support of HB 1418, “Real Estate Appraisal Board; appraisal experience”. This bill would require the Virginia Real Estate Appraiser Board (VREAB) to accept successful completion of approved Practical Applications of Real Estate Appraisal (PAREA) programs to satisfy the experience requirements to become licensed or certified as a real estate appraiser. To date, thirty-six other states have approved acceptance of PAREA. PAREA is a technology-based alternative to the traditional “in-person” supervisor/trainee (apprentice) method of obtaining practical experience to become a licensed or certified real estate appraiser. PAREA provides another pathway for aspiring appraisers to fulfill their experience requirements. It is designed to offer practical experience in a virtual environment combining appraisal theory and methodology in real-world simulations. This experience can be provided through a wide range of computer-based learning and virtual reality technologies. PAREA programs will be available in Virginia starting later this year. The current “in-person” supervisor/trainee model of gaining appraisal experience is the highest barrier to entry into the appraisal profession. For a variety of reasons, aspiring appraisers have an extremely difficult time finding someone willing to supervise them for up to 12 months (for the residential licenses). Partially due to the supervisor/trainee requirement, the number of appraisers has declined significantly since the peak in 2008. Research has also shown that aspiring appraisers of color have a disproportionately more difficult time finding supervisors than do their colleagues. The inability of people of color to find supervisors has contributed to the profession being 98% white. Acceptance of successful completion of approved PAREA programs by the VREAB will help to grow and diversify the appraisal profession. The Appraisal Institute respectfully recommends the General Laws Committee to favorably report HB 1418 to the full House. Thank you for your consideration. Regards, Scott W. DiBiasio Manager, State & Industry Affairs (202) 298-5593 sdibiasio@appraisalinstitute.org

I totally support HB1418 and believe there ought to be an easier way to become an appraiser. My 27 year-old daughter wants to become an appraiser. While she was researching the job requirements, she came across many comments from young women who said the biggest obstacle for them becoming an appraiser was finding someone to supervise them. They said most appraisers are white men in their late 50's and, according to the women my daughter came across on YouTube videos, these men don't like taking on young women to train and supervise as appraisers. A lot of these men have ingrained biases against women, and especially young women, entering their field. However, there is a growing shortage of appraisers and they are going to be needed more than ever in the coming years as the housing market continues to evolve. As these men begin to retire, who is going to take their place? Women should be encouraged to enter the field, and the path to becoming an appraiser should evolve to accommodate these new entrants.

I hope that the committee moves to report to full committee HB1491 and HB2461.

HB1491 - Great definition and one that is workable in today's business world. HB1810 - All employees should have a right to speak what they want. HB2256 - Thank you for making sure they have funds.