CHAPTER 20:14:05
QUALIFICATIONS FOR CERTIFICATION, LICENSURE, AND REGISTRATION
Section
20:14:05:01 Qualifications.
20:14:05:01.01 Qualifications for certified or licensed appraisers that move to the state.
20:14:05:01.02 Limited exemption for qualifications -- Military, Repealed.
20:14:05:02 Examination.
20:14:05:02.00 Examination approval -- Time limit.
20:14:05:02.01 Experience requirements for registered trainee appraiser.
20:14:05:03 Experience requirements for state-licensed appraiser.
20:14:05:03.01 Experience requirements for state-certified residential appraiser.
20:14:05:04 Experience requirements for state-certified general appraiser.
20:14:05:05 Acceptable experience.
20:14:05:05.01 Experience -- Review of appraisals by secretary.
20:14:05:05.02 Experience -- Documentation requirements.
20:14:05:05.03 Experience -- Time spent on the appraisal process.
20:14:05:05.04 Experience -- Time limit.
20:14:05:05.05 Experience -- Review of appraisals by secretary midway to upgrade.
20:14:05:06 Experience -- Verification.
20:14:05:06.01 Educational requirements for registered trainee appraiser.
20:14:05:06.02 Education program for registered trainee appraiser.
20:14:05:07 Educational requirements for state-licensed appraiser -- Appraiser education.
20:14:05:07.01 Educational requirements for state-certified residential appraiser -- Appraiser education.
20:14:05:07.02 Educational requirements for state-certified residential appraiser -- General education.
20:14:05:07.03 Repealed.
20:14:05:07.04 Alternative to general education requirements of the state-certified residential appraiser credential for state-licensed appraiser.
20:14:05:08 Educational requirements for state-certified general appraiser -- Appraiser education.
20:14:05:08.01 Educational requirements for state-certified general appraiser -- General education.
20:14:05:08.02 Education -- Real estate degree.
20:14:05:09 Repealed.
20:14:05:10 Transferred.
20:14:05:11 Education -- Time limit.
20:14:05:12 Repealed.
20:14:05:12.01 Substitution of education.
20:14:05:13 Transferred.
20:14:05:14 Transferred.
20:14:05:15 Transferred.
20:14:05:16 Transferred.
20:14:05:17 Transferred.
20:14:05:18 Repealed.
20:14:05:19 Upgrade of credential.
20:14:05:20 Repealed.
20:14:05:21 Acceptable alternative appraisal experience.
20:14:05:01. Qualifications. To qualify as a registered trainee, state-licensed, state-certified residential, or state-certified general appraiser, an applicant must meet the applicable examination, education, and experience requirements prescribed in this article. After being certified, licensed, or registered, an individual must meet the continuing education requirement in § 20:14:13:01.
Source: 18 SDR 36, effective August 25, 1991; 20 SDR 9, effective August 1, 1993; 22 SDR 91, effective January 1, 1996; 23 SDR 113, effective January 12, 1997; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(1)(5)(6)(7).
Law Implemented: SDCL 36-21B-1, 36-21B-3(1)(5)(6)(7).
20:14:05:01.01. Qualifications for certified or licensed appraisers that move to the state. If a state-certified general, state-certified residential, or state-licensed appraiser moves to the state and holds a valid credential in good standing and issued by the appraiser's home state or any other jurisdiction, the secretary may issue an equivalent credential to the appraiser if the appraiser complies with the following requirements:
(1) Submits an application on a form provided by the secretary;
(2) Certifies that the applicant is licensed or certified to appraise real estate in the applicant's home state or any other jurisdiction;
(3) Certifies that disciplinary proceedings are not pending against the applicant in the applicant's home state or any other jurisdiction;
(4) Provides a signed sworn declaration; and
(5) Pays the application fee prescribed in § 20:14:10:01.
Source: 34 SDR 67, effective September 11, 2007; 42 SDR 98, effective January 5, 2016; 44 SDR 27, effective August 14, 2017; 46 SDR 29, effective September 9, 2019.
General Authority: SDCL 36-21B-3(1)(4).
Law Implemented: SDCL 36-21B-1, 36-21B-3(1)(4).
20:14:05:01.02. Limited exemption for qualifications -- Military. Repealed.
Source: 41 SDR 217, effective June 29, 2015; 49 SDR 25, effective September 18, 2022.
20:14:05:02. Examination. An applicant for a state-licensed, state-certified residential, or state-certified general appraiser credential must have completed the education and experience requirements prescribed in this chapter prior to approval to sit for an Appraiser Qualifications Board Approved Appraiser National Uniform Examination.
Source: 18 SDR 36, effective August 25, 1991; 23 SDR 113, effective January 12, 1997; 32 SDR 109, effective December 27, 2005; 38 SDR 116, effective January 10, 2012; 38 SDR 214, effective June 21, 2012; 44 SDR 27, effective August 14, 2017; 49 SDR 25, effective September 18, 2022; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(5).
Law Implemented: SDCL 36-21B-1, 36-21B-3(5).
Cross-References:
State-certified general appraiser education, §§ 20:14:05:08 and 20:14:05:08.01.
State-certified general appraiser experience, § 20:14:05:04.
State-certified residential appraiser education, §§ 20:14:05:07.01 and 20:14:05:07.02.
State-certified residential appraiser experience, § 20:14:05:03.01.
State-licensed appraiser education, § 20:14:05:07.
State-licensed appraiser experience, § 20:14:05:03.
Registered trainee appraiser education, § 20:14:05:06.01.
20:14:05:02.00. Examination approval -- Time limit. An applicant for a state-certified general, state-certified residential, or state-licensed appraiser credential approved to take the National Uniform Appraiser Examination shall successfully complete the examination within 24 months from the date of approval. If the applicant does not successfully complete the examination within the time limit under this section, the applicant may apply pursuant to § 20:14:03:01 and pay the application fee prescribed in § 20:14:10:01. The examination is valid for a period of 24 months from the date of successful completion.
Source: 26 SDR 120, effective March 27, 2000; 32 SDR 109, effective December 27, 2005; 34 SDR 67, effective September 11, 2007; 44 SDR 27, effective August 14, 2017; 46 SDR 75, effective December 4, 2019; 49 SDR 25, effective September 18, 2022.
General Authority: SDCL 36-21B-3(5).
Law Implemented: SDCL 36-21B-3(5).
20:14:05:02.01. Experience requirements for registered trainee appraiser. An applicant for a registered trainee appraiser credential is not required to have any appraisal experience. After being issued a credential by the department, a registered trainee appraiser may accumulate experience hours when the appraiser accumulates acceptable appraisal experience in accordance with § 20:14:05:05.
Source: 20 SDR 9, effective August 1, 1993; 22 SDR 91, effective January 1, 1996; 26 SDR 120, effective March 27, 2000; 32 SDR 109, effective December 27, 2005; 33 SDR 2, effective July 19, 2006; 44 SDR 27, effective August 14, 2017; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(1).
Law Implemented: SDCL 36-21B-1, 36-21B-3(1).
20:14:05:03. Experience requirements for state-licensed appraiser. An applicant for state-licensed appraiser credential shall have a minimum of 6 months and 1,000 hours of appraisal experience.
Source: 18 SDR 36, effective August 25, 1991; 20 SDR 9, effective August 1, 1993; 22 SDR 91, effective January 1, 1996; 32 SDR 109, effective December 27, 2005; 33 SDR 2, effective July 19, 2006; 38 SDR 116, effective January 10, 2012; 44 SDR 27, effective August 14, 2017; 44 SDR 184, effective June 25, 2018.
General Authority: SDCL 36-21B-3.
Law Implemented: SDCL 36-21B-1, 36-21B-3(7).
20:14:05:03.01. Experience requirements for state-certified residential appraiser. An applicant for state-certified residential appraiser credential shall have a minimum of 12 months and 1,500 hours of appraisal experience of which at least 750 hours are in residential appraisal work. The applicant shall submit for review at least two small income-producing property appraisal reports. Each report shall include all three approaches to value. "Residential" is defined as one- to four-family residential units.
Source: 23 SDR 113, effective January 12, 1997; 24 SDR 91, effective January 8, 1998; 27 SDR 99, effective April 8, 2001; 33 SDR 2, effective July 19, 2006; 34 SDR 67, effective September 11, 2007; 42 SDR 98, effective January 5, 2016; 44 SDR 27, effective August 14, 2017; 44 SDR 184, effective June 25, 2018.
General Authority: SDCL 36-21B-3(7).
Law Implemented: SDCL 36-21B-1, 36-21B-3(7).
20:14:05:04. Experience requirements for state-certified general appraiser. An applicant for a state-certified general appraiser credential shall have a minimum of 18 months and 3,000 hours of appraisal experience of which at least 1,500 hours are in nonresidential appraisal work. The applicant shall submit for review a minimum of two nonresidential appraisal reports. Both of the reports shall include all three approaches to value. "Residential" is defined as one- to four-family residential units.
Source: 18 SDR 36, effective August 25, 1991; 20 SDR 9, effective August 1, 1993; 22 SDR 91, effective January 1, 1996; 23 SDR 113, effective January 12, 1997; 24 SDR 91, effective January 8, 1998; 33 SDR 2, effective July 19, 2006; 34 SDR 67, effective September 11, 2007; 42 SDR 98, effective January 5, 2016; 44 SDR 27, effective August 14, 2017; 44 SDR 184, effective June 25, 2018.
General Authority: SDCL 36-21B-3(7)(17).
Law Implemented: SDCL 36-21B-1, 36-21B-3(7).
20:14:05:05. Acceptable experience. Any of the following is acceptable appraisal experience:
(1) Appraisal;
(2) Appraisal review;
(3) Appraisal consulting; and
(4) Mass appraisal.
For a real estate lending officer or a real estate broker, acceptable appraisal experience includes the actual performance of a real estate appraisal or appraisal review.
Acceptable experience does not require that there be a client in a traditional sense (e.g., a client hiring an appraiser for a business purpose) in order for an appraisal to qualify. Appraisals completed without a traditional client can meet any portion of the total experience requirement.
Source: 18 SDR 36, effective August 25, 1991; 24 SDR 91, effective January 8, 1998; 32 SDR 109, effective December 27, 2005; 32 SDR 109, adopted December 7, 2005, effective January 1, 2008; 35 SDR 175, effective January 1, 2009; 40 SDR 121, effective January 7, 2014; 44 SDR 27, effective August 14, 2017; 49 SDR 25, effective September 18, 2022.
General Authority: SDCL 36-21B-3(1)(17).
Law Implemented: SDCL 36-21B-1, 36-21B-3.
20:14:05:05.01. Experience -- Review of appraisals by secretary. The secretary may review appraisals completed by an applicant. The secretary may select the appraisals from an appraisal log submitted by the applicant on forms provided by the department. Separate appraisal logs shall be maintained for each supervisory appraiser, if applicable. The secretary shall determine if the completed appraisals conform to § 20:14:06:01 and the competence provision in § 20:14:09:02.
Source: 20 SDR 9, effective August 1, 1993; 21 SDR 49, effective September 18, 1994; 22 SDR 91, effective January 1, 1996; 23 SDR 113, effective January 12, 1997; 24 SDR 91, effective January 8, 1998; 32 SDR 109, effective December 27, 2005; 40 SDR 121, effective January 7, 2014.
General Authority: SDCL 36-21B-3(3)(7)(17)(18).
Law Implemented: SDCL 36-21B-1, 36-21B-3(3)(17).
20:14:05:05.02. Experience -- Documentation requirements. Appraisal reports submitted as documentation of experience must comply with the generally accepted uniform standards of professional appraisal practice as incorporated in § 20:14:06:01 for the type of real estate as of the time the work was completed.
Source: 20 SDR 9, effective August 1, 1993; 22 SDR 91, effective January 1, 1996; 24 SDR 91, effective January 8, 1998; 44 SDR 184, effective June 25, 2018.
General Authority: SDCL 36-21B-3(3)(7)(17).
Law Implemented: SDCL 36-21B-1, 36-21B-3(3)(17).
20:14:05:05.03. Experience -- Time spent on the appraisal
process. The experience requirements must be satisfied by the time spent on
the appraisal process. The appraisal process consists of analyzing factors that
affect value; defining the problem; gathering and analyzing data; applying the
appropriate analysis and methodology; and arriving at an opinion and correctly
reporting the opinion in compliance with the uniform standards.
Source:
32 SDR 109, effective December 27, 2005.
General
Authority: SDCL 36-21B-3(3)(7).
Law
Implemented: SDCL 36-21B-3(1)(3)(7).
20:14:05:05.04. Experience -- Time limit. No experience
obtained before February 1, 1989, may be used to meet the experience
requirements of this chapter.
Source:
32 SDR 109, effective December 27, 2005.
General
Authority: SDCL 36-21B-3(7).
Law
Implemented: SDCL 36-21B-3(1)(7).
20:14:05:05.05. Experience -- Review of appraisals by secretary midway to upgrade. When a registered trainee appraiser has achieved at least fifty percent of the experience hours required to upgrade to the state-licensed, state-certified residential, or state-certified general appraiser credential, the registered trainee appraiser may request from the secretary an appraisal review of an appraisal completed by the registered trainee appraiser. The registered trainee appraiser may submit a maximum of two appraisals for review pursuant to this section.
The secretary shall review the appraisal for compliance with:
(1) The uniform standards;
(2) The additional assignment conditions, as required pursuant to § 20:14:06:01.01; and
(3) The competency requirement pursuant to § 20:14:09:02.
The department shall provide a copy of the appraisal review report to the registered trainee appraiser and the supervisory appraiser.
If the appraisal review reveals that the appraisal is not in compliance, the secretary may prescribe remedial education. The secretary may not take disciplinary action against the registered trainee appraiser or the supervisory appraiser for non-compliant appraisal work found pursuant to this section.
If the appraisal review reveals that the appraisal is in compliance, the secretary shall grant the registered trainee appraiser credit for the compliant appraisal report when the registered trainee appraiser applies to upgrade to a higher appraiser credential.
Source: 43 SDR 36, effective September 20, 2016; 44 SDR 27, effective August 14, 2017; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(3)(7)(17)(18).
Law Implemented: SDCL 36-21B-1, 36-21B-3(1)(3)(7)(17)(18).
Cross References:
State-certified general appraiser experience, § 20:14:05:04,
State-certified residential appraiser experience, § 20:14:05:03.01,
State-licensed appraiser experience, § 20:14:05:03.
20:14:05:06. Experience -- Verification. An applicant
shall, upon request of the secretary, verify appraisal experience credit
claimed by submitting documentation in the form of reports, certifications, or
file memoranda, or, if such reports and memoranda are unavailable for good
cause, other evidence, approved by the secretary, to support the applicant's
experience claimed.
Source:
18 SDR 36, effective August 25, 1991; 32 SDR 109, effective December 27, 2005.
General
Authority: SDCL 36-21B-3(7).
Law
Implemented: SDCL 36-21B-3(7).
20:14:05:06.01. Educational requirements for registered trainee appraiser. An applicant for a registered trainee appraiser credential shall complete seventy-five creditable class hours of approved qualifying education in § 20:14:05:06.01 within the five-year period before the date of the application, which includes successful completion of each course examination. Acceptable education is:
(1) Basic appraisal principles -- thirty hours;
(2) Basic appraisal procedures -- thirty hours; and
(3) A fifteen-hour qualifying course that covers the uniform standards.
Source: 24 SDR 91, effective January 8, 1998; 32 SDR 109, adopted December 7, 2005, effective January 1, 2008; 38 SDR 116, effective January 10, 2012; 38 SDR 214, adopted June 21, 2012, effective January 1, 2015; 44 SDR 27, effective August 14, 2017; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(1)(3)(6).
Law Implemented: SDCL 36-21B-1, 36-21B-3(1)(3)(6).
20:14:05:06.02. Education program for registered trainee appraiser. An applicant for a registered trainee appraiser credential shall complete an education program pursuant to § 20:14:04:12.02 prior to issuance of the credential. The education program classroom hours are not eligible towards the qualifying education requirements in § 20:14:05:06.01 or the continuing education requirements in § 20:14:13:01.
Source: 41 SDR 217, effective June 29, 2015; 44 SDR 27, effective August 14, 2017; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(1)(6).
Law Implemented: SDCL 36-21B-1, 36-21B-3(1)(6).
20:14:05:07. Educational requirements for state-licensed appraiser -- Appraiser education. The following educational requirements apply to state-licensed appraisers:
(1) An applicant for examination as a state-licensed appraiser credential shall complete the one hundred fifty creditable class hours of approved qualifying education specified in subsections (1)(a) to (1)(g), inclusive, which includes successful completion of each course examination. Acceptable education is:
(a) Basic appraisal principles -- thirty hours;
(b) Basic appraisal procedures -- thirty hours;
(c) A fifteen-hour qualifying course that covers the uniform standards;
(d) Residential market analysis and highest and best use -- fifteen hours;
(e) Residential appraiser site valuation and cost approach -- fifteen hours;
(f) Residential sales comparison and income approaches -- thirty hours; and
(g) Residential report writing and case studies -- fifteen hours.
(2) A registered trainee appraiser satisfies the educational requirements for the state-licensed appraiser classification by completing the following additional educational hours:
(a) Residential market analysis and highest and best use -- fifteen hours;
(b) Residential appraiser site valuation and cost approach -- fifteen hours;
(c) Residential sales comparison and income approaches -- thirty hours; and
(d) Residential report writing and case studies -- fifteen hours.
(3) A registered trainee appraiser satisfies the educational requirements for the state-licensed appraiser classification by completing the following additional educational hours if the registered trainee appraiser is seeking the state-certified general appraiser credential and the experience includes nonresidential appraisal work:
(a) General market analysis and highest and best use -- thirty hours;
(b) General sales comparison approach -- thirty hours;
(c) General income approach -- sixty hours;
(d) General site valuation and cost approach -- thirty hours; and
(e) General report writing and case studies -- thirty hours.
Source: 18 SDR 36, effective August 25, 1991; 19 SDR 12, effective August 3, 1992; 20 SDR 9, effective August 1, 1993; 21 SDR 49, effective September 18, 1994; 22 SDR 91, effective January 1, 1996; 23 SDR 113, effective January 12, 1997; 24 SDR 91, effective January 8, 1998; 32 SDR 109, adopted December 7, 2005, effective January 1, 2008; 33 SDR 2, adopted June 29, 2006, effective January 1, 2008; 35 SDR 175, effective January 1, 2009; 38 SDR 116, effective January 10, 2012; 38 SDR 214, effective June 21, 2012; 44 SDR 27, effective August 14, 2017; 47 SDR 71, effective December 14, 2020; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(3)(6).
Law Implemented: SDCL 36-21B-1, 36-21B-3(3)(6).
Cross-References:
Requirement for qualifying education credit, § 20:14:13:03.01.
Application for course approval, § 20:14:13:07.
20:14:05:07.01. Educational requirements for state-certified residential appraiser -- Appraiser education. The following educational requirements apply to state-certified residential appraisers:
(1) An applicant for examination as a state-certified residential appraiser credential shall have completed two hundred creditable class hours of approved qualifying education which includes successful completion of each course examination. Acceptable education is as follows:
(a) Basic appraisal principles -- thirty hours;
(b) Basic appraisal procedures -- thirty hours;
(c) A fifteen-hour qualifying course that covers the uniform standards;
(d) Residential market analysis and highest and best use -- fifteen hours;
(e) Residential appraiser site valuation and cost approach -- fifteen hours;
(f) Residential sales comparison and income approaches -- thirty hours;
(g) Residential report writing and case studies -- fifteen hours;
(h) Statistics, modeling, and finance -- fifteen hours;
(i) Advanced residential applications and case studies -- fifteen hours; and
(j) Appraisal subject matter electives -- twenty hours.
(2) A registered trainee appraiser satisfies the appraiser educational requirements for the state-certified residential appraiser credential by completing the following additional educational hours:
(a) Residential market analysis and highest and best use -- fifteen hours;
(b) Residential appraiser site valuation and cost approach -- fifteen hours;
(c) Residential sales comparison and income approaches -- thirty hours;
(d) Residential report writing and case studies -- fifteen hours;
(e) Statistics, modeling, and finance -- fifteen hours;
(f) Advanced residential applications and case studies -- fifteen hours; and
(g) Appraisal subject matter electives -- twenty hours.
(3) A state-licensed appraiser satisfies the appraiser educational requirements for the state-certified residential appraiser credential by completing the following additional educational hours:
(a) Statistics, modeling, and finance -- fifteen hours;
(b) Advanced residential applications and case studies -- fifteen hours; and
(c) Appraisal subject matter electives -- twenty hours.
Source: 23 SDR 113, effective January 12, 1997; 24 SDR 91, effective January 8, 1998; 32 SDR 109, adopted December 7, 2005, effective January 1, 2008; 35 SDR 175, effective January 1, 2009; 38 SDR 116, effective January 10, 2012; 44 SDR 27, effective August 14, 2017; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(3)(6).
Law Implemented: SDCL 36-21B-1, 36-21B-3(3)(6).
Cross-References: Requirement for qualifying education credit, § 20:14:13:03.01; Application for course approval, § 20:14:13:07.
20:14:05:07.02. Educational requirements for state-certified residential appraiser -- General education. An applicant for the state-certified residential appraiser credential must satisfy one of the following general education options:
(1) Hold a bachelor's degree, or higher from an accredited college or university;
(2) Hold an associate's degree from an accredited college or university in a field of study related to:
(a) Business administration;
(b) Accounting;
(c) Finance;
(d) Economics; or
(e) Real estate;
(3) Successful completion of 30 semester hours of college-level courses from an accredited college or university in the following specific topic areas:
(a) English composition (3 semester hours);
(b) Microeconomics (3 semester hours);
(c) Macroeconomics (3 semester hours);
(d) Finance (3 semester hours);
(e) Algebra, geometry, or higher mathematics (3 semester hours);
(f) Statistics (3 semester hours);
(g) Computer science (3 semester hours);
(h) Business or real estate law (3 semester hours); and
(i) Two elective courses in:
(i) Accounting (3 semester hours);
(ii) Geography (3 semester hours);
(iii) Agricultural economics (3 semester hours);
(iv) Business management (3 semester hours); or
(v) Real estate (3 semester hours); or
(4) Successful completion of at least 30 hours of College Level Examination Program® (CLEP®) examinations from the following subject matter areas:
(a) College algebra;
(b) College composition;
(c) College composition modular;
(d) College mathematics;
(e) Principles of macroeconomics:
(f) Principles of microeconomics;
(g) Introductory business law; and
(h) Information systems.
The applicant for state-certified residential appraiser may use any combination of the specific topic areas listed in (3) above and subject matter areas listed in (4) above to satisfy the 30 semester hours of college-level courses.
The college or university shall be a degree-granting institution accredited by the Commission on Colleges, a regional or national accreditation association, or by an accrediting agency that is recognized by the U.S. Secretary of Education.
Source: 32 SDR 109, adopted December 7, 2005, effective January 1, 2008; 34 SDR 67, adopted August 22, 2007, effective January 1, 2008; 36 SDR 112, effective January 11, 2010; 38 SDR 214, adopted June 21, 2012, effective July 1, 2014; 44 SDR 27, effective August 14, 2017; 44 SDR 184, effective June 25, 2018.
General Authority: 36-21B-3(3)(6).
Law Implemented: 36-21B-1, 36-21B-3(3)(6).
Cross-References:
Requirement for qualifying education credit, § 20:14:13:03.01.
Application for course approval, § 20:14:13:07.
20:14:05:07.03. Educational requirements for state-licensed appraiser -- General education. Repealed.
Source: 38 SDR 214, adopted June 21, 2012, effective July 1, 2014; 42 SDR 98, effective January 5, 2016; 44 SDR 27, effective August 14, 2017; 44 SDR 184, effective June 25, 2018.
20:14:05:07.04. Alternative to general educational requirements of the state-certified residential appraiser credential for state-licensed appraiser. A state-licensed appraiser may, as an alternative to the general education requirements as prescribed in § 20:14:05:07.02, qualify for upgrade to state-certified residential appraiser if all of the following requirements have been satisfied:
(1) Has held a state-licensed appraiser credential for a minimum of five years;
(2) Has not been subject to any disciplinary action within any jurisdiction that affects legal eligibility to engage in appraisal practice within the five years preceding an application for state-certified residential appraiser;
(3) Has met all of the experience requirements for state-certified residential appraiser as prescribed in § 20:14:05:03.01; and
(4) Has met all of the appraiser education requirements for state-certified residential appraiser as required in § 20:14:05:07.01.
Source: 44 SDR 184, effective June 25, 2018.
General Authority: SDCL 36-21B-3(7).
Law Implemented: SDCL 36-21B-1, 36-21B-3(1)(6)(7).
20:14:05:08. Educational requirements for state-certified general appraiser -- Appraiser education. The following educational requirements apply to state-certified general appraisers:
(1) An applicant for examination as state-certified general appraiser credential shall have completed three hundred creditable class hours of approved qualifying education, which includes successful completion of each course examination. Acceptable education is as follows:
(a) Basic appraisal principles -- thirty hours;
(b) Basic appraisal procedures -- thirty hours;
(c) A fifteen-hour qualifying course that covers the uniform standards;
(d) General appraiser market analysis and highest and best use -- thirty hours;
(e) Statistics, modeling, and finance -- fifteen hours;
(f) General appraiser sales comparison approach -- thirty hours;
(g) General appraiser site valuation and cost approach -- thirty hours;
(h) General appraiser income approach -- sixty hours;
(i) General appraiser report writing and case studies -- thirty hours; and
(j) Appraisal subject matter electives -- thirty hours.
An applicant shall demonstrate that the applicant's acceptable education emphasizes properties other than one- to four-family residential properties.
(2) A registered trainee appraiser satisfies the appraiser educational requirements for the state-certified general appraiser credential by completing the following additional educational hours:
(a) General appraiser market analysis and highest and best use -- thirty hours;
(b) Statistics, modeling, and finance -- fifteen hours;
(c) General appraiser sales comparison approach -- thirty hours;
(d) General appraiser site valuation and cost approach -- thirty hours;
(e) General appraiser income approach -- sixty hours;
(f) General appraiser report writing and case studies -- thirty hours; and
(g) Appraisal subject matter electives -- thirty hours.
(3) A state-licensed appraiser satisfies the appraiser educational requirements for the state-certified general appraiser credential by completing the following additional educational hours:
(a) General appraiser market analysis and highest and best use -- fifteen hours;
(b) Statistics, modeling, and finance -- fifteen hours;
(c) General appraiser sales comparison approach -- fifteen hours;
(d) General appraiser site valuation and cost approach -- fifteen hours;
(e) General appraiser income approach -- forty-five hours;
(f) General appraiser report writing and case studies -- fifteen hours; and
(g) Appraisal subject matter electives -- thirty hours.
(4) A state-certified residential appraiser satisfies the appraiser education requirements for the state-certified general appraiser credential by completing the following additional educational hours:
(a) General appraiser market analysis and highest and best use -- fifteen hours;
(b) General appraiser sales comparison approach -- fifteen hours;
(c) General appraiser site valuation and cost approach -- fifteen hours;
(d) General appraiser income approach -- forty-five hours; and
(e) General appraiser report writing and case studies -- ten hours.
Source: 18 SDR 36, effective August 25, 1991; 19 SDR 12, effective August 3, 1992; 21 SDR 49, effective September 18, 1994; 22 SDR 91, effective January 1, 1996; 23 SDR 113, effective January 12, 1997; 24 SDR 91, effective January 8, 1998; 32 SDR 109, adopted December 7, 2005, effective January 1, 2008; 33 SDR 2, adopted June 29, 2006, effective January 1, 2008; 35 SDR 175, effective January 1, 2009; 38 SDR 116, effective January 10, 2012; 44 SDR 27, effective August 14, 2017; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(3)(6)(7).
Law Implemented: SDCL 36-21B-1, 36-21B-3(3)(6)(7).
Cross-References:
Requirement for qualifying education credit, § 20:14:13:03.01.
Application for course approval, § 20:14:13:07.
20:14:05:08.01. Educational requirements for state-certified general appraiser -- General education. Applicants for the state-certified general appraiser credential shall hold a bachelor's degree or higher from an accredited college or university.
The college or university must be a degree-granting institution accredited by the Commission on Colleges, a regional or national accreditation association, or by an accredited agency that is recognized by the U.S. Secretary of Education.
Source: 32 SDR 109, adopted December 7, 2005, effective January 1, 2008; 34 SDR 67, adopted August 22, 2007, effective January 1, 2008; 36 SDR 112, effective January 11, 2010; 38 SDR 214, adopted June 21, 2012, effective July 1, 2014; 44 SDR 27, effective August 14, 2017.
General Authority: SDCL 36-21B-3(3)(6).
Law Implemented: SDCL 36-21B-1, 36-21B-3(3)(6).
Cross-References:
Requirement for qualifying education credit, § 20:14:13:03.01.
Application for course approval, § 20:14:13:07.
20:14:05:08.02. Education -- Real estate degree. Credit toward qualifying education requirements may also be obtained through the completion of a degree in real estate from an accredited degree-granting college or university approved by the Association to Advance Collegiate Schools of Business, or a regional or national accreditation agency recognized by the U.S. Secretary of Education, provided that the college or university has had its curriculum reviewed and approved by the Appraiser Qualifications Board.
The Appraiser Qualifications Board may maintain a list of approved college or university degree programs, including the required core curriculum and appraisal subject matter elective hours satisfied by the award of the degree. Candidates for an appraiser credential who are awarded degrees from institutions are required to complete all additional education required for the credential, in which the approved degree is judged to be deficient by the Appraiser Qualifications Board.
Source: 38 SDR 214, effective June 21, 2012; 44 SDR 27, effective August 14, 2017.
General Authority: SDCL 36-21B-3(6)(7).
Law Implemented: SDCL 36-21B-3(6)(7).
20:14:05:09. Education emphasis -- Courses.Repealed.
Source: 18 SDR 36, effective August 25, 1991; 22 SDR 91, effective January 1, 1996; repealed, 23 SDR 113, effective January 12, 1997.
20:14:05:10. Transferred to § 20:14:13:03.01.
20:14:05:11. Education -- Time limit. There is no time limit for obtaining qualifying education credit for state-certified general, state-certified residential, and state-licensed appraiser credentials.
Source: 18 SDR 36, effective August 25, 1991; 26 SDR 120, effective March 27, 2000; 35 SDR 175, effective January 1, 2009; 38 SDR 214, effective June 21, 2012; 44 SDR 27, effective August 14, 2017.
General Authority: SDCL 36-21B-3(6)
Law Implemented: SDCL 36-21B-1, 36-21B-3(6).
20:14:05:12. Education -- Credit granted by challenge exam.
Repealed.
Source:
18 SDR 36, effective August 25, 1991; repealed, 32 SDR 109, effective December
27, 2005.
20:14:05:12.01. Substitution of education. Experience may
not be substituted for education.
Source:
32 SDR 109, effective December 27, 2005.
General
Authority: SDCL 36-21B-3(7).
Law
Implemented: SDCL 36-21B-3(1)(7).
20:14:05:13. Transferred to § 20:14:13:01.
20:14:05:14. Transferred to § 20:14:13:02.
20:14:05:15. Transferred to § 20:14:13:03.
20:14:05:16. Transferred to § 20:14:13:04.
20:14:05:17. Transferred to § 20:14:13:05.
20:14:05:18. Transitional state license.Repealed.
Source: 18 SDR 36, effective August 25, 1991; 19 SDR 12, effective August 3, 1992; 20 SDR 9, effective August 1, 1993; repealed, 22 SDR 91, effective January 1, 1996.
20:14:05:19. Upgrade of credential. To qualify to upgrade a credential, a registered trainee, state-certified residential, or state-licensed appraiser must:
(1) Submit an application as prescribed in § 20:14:03:01;
(2) Submit an appraisal log for review, as prescribed in § 20:14:05:05.01;
(3) Meet the minimum qualifications for certification or licensure in this chapter; and
(4) Pay the applicable fee in § 20:14:10:01 and upgrade fee in § 20:14:10:05.
Source: 20 SDR 9, effective August 1, 1993; 21 SDR 49, effective September 18, 1994; 22 SDR 91, effective January 1, 1996; 23 SDR 113, effective January 12, 1997; 44 SDR 27, effective August 14, 2017; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(4)(7).
Law Implemented: SDCL 36-21B-1, 36-21B-3(4)(7), 36-21B-4(1)(5).
20:14:05:20. Upgrade from state-registered to state-licensed appraiser -- Challenge to experience requirements -- Denial of challenge.Repealed.
Source: 20 SDR 9, effective August 1, 1993; 22 SDR 91, effective January 1, 1996; repealed, 23 SDR 113, effective January 12, 1997.
20:14:05:21. Acceptable alternative appraisal experience. Experience obtained through an alternative method other than the traditional supervisor and registered trainee appraiser model must satisfy the experience requirements for state-licensed, state-certified residential, and state-certified general appraiser credentials. Acceptable alternative methods for appraisal experience are:
(1) Practicum courses that are approved by the Appraiser Qualifications Board Course Approval Program or another state appraiser regulatory agency;
(2) Practical Applications of Real Estate Appraisal (PAREA) programs approved by the Appraiser Qualifications Board Course Approval Program. Partial credit may not be granted for completing only a portion of a PAREA program. Experience credit must be granted upon verification of successful completion of an entire PAREA program for the state-licensed or state-certified residential appraiser credential, as applicable; and
(3) An experience training program administered in accordance with chapter 20:14:15.
Source: 49 SDR 25, effective September 18, 2022; 49 SDR 48, effective November 22, 2022; 49 SDR 48, effective October 1, 2023.
General Authority: SDCL 36-21B-3(1)(21).
Law Implemented: SDCL 36-21B-1, 36-21B-3(1)(21).
Reference: The Real Property Appraiser Qualification Criteria and Interpretations of the Criteria, effective January 1, 2022, The Appraisal Foundation, Appraiser Qualifications Board. Copies may be obtained from The Appraisal Foundation, free of charge at https://appraisalfoundation.org/imis/TAF/Standards/Qualification_Criteria/Qualification_Criteria_RP_/TAF/AQB_RPAQC.aspx?hkey=5ec61b8d-751b-4a97-90b1-9b3dae51beea.
