If you’ve learned how to become a real estate appraiser and you’re currently a trainee appraiser looking to get licensed or certified, becoming a Licensed Residential Appraiser may be the right step. Here’s an overview of this role, income information, and how to become a licensed residential property appraiser.
Is now a good time to become an appraiser? Find out in our free guide.
What is a licensed residential property appraiser?
A Licensed Residential Appraiser can appraise residential properties with 1–4 living units that fall within specific parameters.
Licensed Residential Appraisers can appraise non-complex single-family homes, duplexes, triplexes, and quadruplexes with a transaction value below $1 million and complex 1–4 unit residential properties with a transaction value below $250,000.
How does this differ from other license levels?
Appraisers at other license levels have different skills and qualifications regarding property type and complexity:
- If you’re a Trainee Appraiser, you work under a supervisor appraiser, learning the ropes and gaining hands-on experience. This stage is essential for building a solid appraisal knowledge and skills foundation and completing the required hours to obtain your license.
- Certified Residential Appraisers can appraise any residential property with up to four units, including single-family homes, duplexes, and triplexes. Subject to the Competency Provisions of USPAP, there is no limit on complexity or transaction value, so this certification opens the door to appraising more complex residential properties, including luxury homes.
- Certified General Appraisers can appraise all real estate types, including residential and commercial properties, vacant land, and farms.
Please note: Some states do not offer a Licensed Residential Appraiser option. Instead, Trainees will advance to either Certified Residential or Certified General Appraiser.
How to become a Licensed Residential Appraiser
The Appraisal Qualifications Board (AQB) of the Appraisal Foundation has minimum recommended guidelines for becoming a Licensed Residential Appraiser. While most states use these requirements, some states have stricter rules. It’s important to check with your state’s licensing board to know exactly what you need to do to get licensed.
Qualifying Education
You will need at least 150 total hours of Qualifying Education (QE) to become a Licensed Residential Appraiser. These are the courses you’ll need to take:
- Basic Appraisal Principles (30 hrs)
- Basic Appraisal Procedures (30 hrs)
- National USPAP Course (15 hrs)
- Residential Market Analysis and Highest and Best Use (15 hrs)
- Residential Appraiser Site Valuation and Cost Approach (15 hrs)
- Residential Sales Comparison and Income Approaches (30 hrs)
- Residential Report Writing and Case Studies (15 hrs)
This list includes the 75 hours of appraisal classes you took to become a trainee. If you already have your Trainee Appraiser license, you’ll only need 75 hours of additional QE to meet the AQB’s minimum requirements. But again, check with your state to confirm.
Hands-on Experience
You will need to complete 1,000 hours of appraisal experience in no less than 6 months under the supervision of a certified supervisory appraiser.
Prerequisites: Do you need a college degree?
The short answer is: Probably not. Under the AQB’s minimum requirements, you do not need any college education to become a Licensed Residential Appraiser. However, individual states can set stricter requirements. You’ll need to check with your state’s licensing board.
Passing the National Uniform Licensing and Certification Exam
Once you have finished your qualifying education and experience hours, you must pass the National Uniform Licensing and Certification Exam as the final step toward becoming a Licensed Residential Appraiser.
Once you’ve obtained the credential of Licensed Appraiser, you can begin to work independently without a supervisor.
How much do licensed residential property appraisers make?
According to the 2023 Appraisal Income Salary Guide, the average annual income for Licensed Residential Appraisers in 2022 was $89,056.
Multiple factors influence this amount, such as:
- Location – Appraisers in higher cost-of-living areas or places with a more robust housing market may earn more.
- Experience – Appraisers who have been in business longer are more likely to earn more money as they tend to have a more extensive network, be more efficient, and have a more diversified client base.
- Specialization – If you develop specialized skills or expertise in a particular area, you can often charge higher rates, which will increase your income.
To put this in perspective, Trainees’ average annual income is around $53,000, while Certified Residential Appraisers earn an average of about $102,000, and Certified General Appraisers earn around $145,000 per year.
Take the next step to become a licensed residential property appraiser
Enroll in licensing classes today if you’re ready to advance in your appraisal career become a licensed home appraiser. McKissock has helped more than 100,000 appraisers launch their appraisal careers over the last 30+ years. We offer qualifying education to meet your state’s requirements, Licensed Residential Appraiser exam prep to help you pass the National Uniform Licensing and Certification Examination, and appraisal continuing education to maintain your license and advance your skills.
Is now a good time to become an appraiser? Download our free guide: Is an Appraisal Career Right for You?
