AR201-OOO - Appraisal Review and Management Overview

Registration

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Course Description

AR201 is an introductory course focused on providing an in depth understanding of the Uniform Standards of Professional Appraisal Practice (USPAP) that govern the profession of appraisal review.

This course will compare, contrast, and interpret real property, personal property, and business valuation review practices, case illustrations, and standards. The course covers narrative appraisal report writing as an argument (including a recommended review report paradigm) and will also generate discussion on review report examples. Participants will explore the scope of work for a review assignment to include credible assignment results and reviewer competency and ethics. Other accepted appraisal standards are also presented and discussed. The conclusion of this overview course and examination will prepare reviewers with the necessary content for moving to the next POV review class.

Instructional Methods

AR201 features class lecture, discussion, and practices appraisal review by using actual redacted appraisals for all disciplines.

Course Audience and Prerequisites

AR201 is the introductory Principle of Valuation (POV) course in the 4-course series (AR201-AR204) for those seeking the AM or ASA designation in Appraisal Review.  This course is also the first of two classes (AR201 and AR204) needed for ASA credential holders who wish to obtain the ARM Speciality Designation within their discipline.

AR201 also serves as the first of two required courses (AR201 and AR204) for attorneys, lenders, and other non-appraiser professionals who are interested in earning an ARM Certificate of Completion.

Students seeking the AM or ASA designation need to take the POV courses in order starting with 201 and ending with 204.  Those seeking the ARM Specialty Designation or the ARM Certificated of Completion need to take 201 followed by 204.  

Course Requirements

Attendees must have a current edition of USPAP and one (1) redacted appraisal report (in their discipline) written by another appraiser.

State Approvals

ASA has received approval from the following states for up to 27 hours of continuing education credit for the in-person course. Please note - some states may not accept all 27 hours. Contact your state appraiser real estate appraisal board for more information.

CA - expires 8/7/2022
NH - expires 7/11/2022
OK - expires 7/11/2021

Agenda

Day 1

• Instructor and Student Introductions
• Course Introduction
• History of Appraisal Review
• Introduction to Professional Appraisal Review
• The Concept of Standards as a Measure of Quality
• Rule Based versus Principle Based Standards
• Narrative Appraisal Report Writing as Argument
• Discussion of Daubert Expert Testimony Rule
• How Appraisal Standards were/are Established
• Presentation and Discussion of the Myriad of Appraisal Standards
• USPAP as the American Appraisal Standards

Day 2

• Compare, Contrast Standards USPAP, IVS, AICPA, ASA BV/PP, AI, CBA, MRIC
• Concepts of Appraisal Standards Enforcement
• U.S. Federal Statutes and Regulations
• State Statutes and Regulation
•  Peer Review Committee Actions
• Civil Law Suits
• Appraisal Review as Police Action
• Meaning and Interpretation of Appraisal Standards
  Parsing - the pulling apart of a rule
• Canons of Construction, Exposure Drafts
• Homework Assignment Parsing a USPAP and IVS Standard

Day 3

• Go Over Homework –Parsing a Rule
• Introduction to the Appraisal Review Paradigm
• Introduction to an Appraisal Review Report
  Hands-on Review
• Real Property Report
• Personal Property Report
• Business Valuation Report
• Course Review/Exam Prep

Day 4

• Exam

Learning Outcomes

By the end of the course participants will:

1. Understand why appraisal reviews are performed and for whom;
2. List the most common errors in appraisal reports and organize them into the major categories;
3. Compare the current understanding of appraisal review to the industry standard definition;
4. Analyze the Ethics Rule for its key components of impartiality, objectivity, and independence, compared it to Standard Rule 3-1 and list the consequences of violating them as an appraisal reviewer;
5. Analyze the Competency Rule for its key components and list the consequences of violating them as an appraisal reviewer;
6. Analyze the Scope of Work (SoW) Rule for its key components, Standard 3-2 and list the consequences of violating them as an appraisal reviewer;
7. Critically apply the key components of Standard 3-3 a, b.9;
8. Contrast the practical applications of preparing an appraisal review with an opinion of value to an appraisal review without an opinion of value;
9. Examine the structural difference between the IVS and USPAP standards;
10. Critically analyze the differences between Rules and Principles;
11. Outline the fundamental differences between USPAP and IVS;
12. Analyze the structure of SSVS vs SVP and the difference between principles-based and rules-based standards;
13. Critically examine how to review an appraisal report that has not been prepared based upon any standards;
14. Identifiy the inappropriate use of standards;
15. Differentiate between the Code of Ethics used by ASA and other associations;
16. Identify flaws of logic common to appraisal reports;
17. Compare and contrast examples of results that are credible and those that are not;
18. Utilize the IRAC format to begin the appraisal review report writing process;
19. Utilize CRAC format when performing a review;
20. Analyze what is required to earn the different ARM designations and how it may benefit them professionally; and
21. Summarize the key elements of the class by task.