FAQs Here are a few of our frequently asked questions.
An MAI appraisal, commonly misspelled as MIA Appraisal, is a misnomer. An MAI Appraisal is not a type of appraisal but an appraisal performed by an appraiser that holds the MAI Designation, also known as an MAI Appraiser.
An MAI is an appraiser that possesses the MAI designation, which is depicted following the appraisers name, such as David J. Glauber, MAI.
The MAI originally stood for Member of the Appraisal Institute. However, that was changed in recent years and it is now a service mark such as IBM or KFC that does not reference any words behind the letters. Either way, an MAI designation is the highest achievement that is available to an appraiser. The requirements to become an MAI far exceed the requirements set forth for a certified general appraiser. Bear in mind that an MAI Appraiser will almost always also be a Certified General Appraiser.
It is common practice for a client to require an MAI appraiser to complete appraisals of complex real estate transactions as the MAI designation is recognized throughout the world.
The question is do you need an MAI Appraisal? (An appraisal completed by an appraiser who holds the MAI Designation) MAI’s do all levels of appraisal work, even simple assignments. Since the assignments are less complex, the fee is also less and is not necessarily higher than a Certified General Appraiser that is not an MAI. Therefore, if you need an appraisal of any level, why would you not ask for the best. So please call us for your Appraisal needs.
If you need an Appraisal completed by an appraiser with the MAI designation, please give us a call, we would be delighted to perform your work.
David J. Glauber, MAI
The following is an excerpt from ezinearticles.com/? What Is An MAI Appraisal?
This description is a good example of how the term MAI gets used or misused. The information in this excerpt has many technical errors and should not be taken as fact, but it is a good reflection of the attitudes of the real estate industry.
MAI appraisals are among the most sought after appraisals in the commercial real estate world. MAI stands for Member of the Appraisal Institute, a trade organization which monitors appraisers and holds them to a higher standard than appraisers who are merely licensed and do not belong to such an organization. There are other appraisal trade organizations active in the world of real estate. However, MAI is the best known, and thus the most popular.
Technically, there is no such thing as an “MAI appraisal.” There are only appraisals performed by an appraiser who has completed the MAI Appraisal Institutes class offerings, and holds this designation. However, it’s often much easier to refer to the appraisal itself as being certified than to hold to technicalities.
An appraiser who has earned the MAI designation is qualified to and experienced in the performance of both residential and commercial properties. Many other appraisers are only qualified for residential property. At one point, lenders were likely to require that an appraisal be done by an MAI certified appraiser, or a member of another trade organization. However, this has been unlawful since 1989, as there is not federal regulation of these organizations. Still, certified appraisals can increase the chances of a favorable lending situation, since the lender will feel more comfortable. An MAI certified appraisal offers lenders a reliability that allows them to be confident in their investment.
A commercial appraisal by an MAI certified appraiser can include many things. Generally, it will provide an overview of the community, neighborhood, and general area in which the property is situated, as well as a detailed description of the site and all buildings it contains. Zoning analysis, an analysis of the highest and best use for the property, and an in depth discussion of the property’s value from several different approaches will also be included. The appraiser may also make a recommendation of which valuation is most appropriate in his or her opinion.
Being a commercial appraiser is a rewarding field once you’re in it, but it is not easy to break into.
In order to be a real estate appraiser, you must be certified by your state. While it’s true that some states such as Kentucky do not “require” certification, almost all potential clients will require it.
In order to get certified, you must take several real estate appraisal classes, take a test and document several thousand hours of experience under a certified appraiser. I believe all states require these things, although not necessarily in that order.
While the education is easy enough to acquire, the experience is not. In order to accumulate enough experience in appraising, you must work under a certified appraiser for two years at the minimum, (in Kentucky), usually it is much longer. During this period, one should not expect high pay. Once you have your certification, your supervisor will most likely increase your pay. Unless your supervisor is just a %*!! I have been there.
Anyway, once you have your certification you can work for yourself. That being said, you may find it much easier to acquire new clients by staying with a larger firm, but it is now your choice instead of you know who’s.
If you plan to become a real estate appraiser, it is best to find someone that will commit to hiring you before you start taking classes.
This question must be answered before an appraisal can begin.
Appraisers and clients have historically created all types of descriptive names for appraisal reports. These different appraisal reports were standardized in the early 1990’s by
USPAP, or Uniform Standards of Professional Appraisal Practice, created from federal requirements.
TYPES OF APPRAISALS:
The appraisal process includes inspecting the property, researching the data and concluding a value.
The report format is how the appraisal or value conclusion and research is conveyed to the client. The report can be one of two written reports:
-Restricted Use Report
– Appraisal Report
The restricted report is only intended for a specified client that has knowledge of the property being appraised and the market where it is located. This report is not suitable for use by a third party, such as a lending institution, court proceeding, estate planning, or anything else, which requires use by a third party. This report is functional for a property owner who wants to know how much to sell their property for.
APPRAISAL REPORT: This report is the workhorse of the industry. This is the most common report format used because it is functional in any situation. This report gives a summary description of the property being appraised, the research included and the conclusions presented.
SELF CONTAINED: This report format no longer exist.
Does that answer your question about appraisal reports? If it did not please feel free to call American Appraisers Corp. See main page at AmericanAppraisers.net