On Staying Current

In this monograph, we discuss the absolute necessity of developing more than one skill set as part of becoming a competent and professional real estate appraiser.  Real estate appraising is a complex practice that requires a diverse range of skills and knowledge, from understanding current market conditions to understanding and interpreting complex legal and financial documents.  If you want to be your own boss, it also requires business acumen.  

At its core, real estate appraising involves the due diligence necessary to form a credible opinion of the market value of a particular property.  This requires a deep understanding of the appraiser’s local real estate market, as well as of the physical, legal, and economic factors that influence property values in it.  However, becoming a successful real estate appraiser requires more than mere market knowledge.  It also requires a range of other skills, including the ability to conduct thorough research, analyze mountains of data, communicate persuasively and effectively with and to other professionals, and manage complex projects.  These are all aspects of being an appraiser they do not teach us in appraisal school.

Most importantly, successful appraisers must adapt to changing market conditions and trends.  Currently there are so many of these ongoing, especially as the GSEs are about to inaugurate UAD-2 to replace their archaic appraisal reporting forms.  This means continually learning and developing new skills to stay ahead of the curve.  In today’s fast-paced real estate appraisal world, with fundamental changes so ubiquitous, those who fail to adapt to these changes risk falling behind, thus becoming irrelevant, or worse, dinosaurs.

One of the most important professional skills for any real estate appraiser is the ability to conduct market research.  Appraisers need to be able to gather and analyze data efficiently (i.e., quickly), as well as do so using a variety of sources.  These include the public records, property listings, pending contracts, recent sales and listing data, MLS, Zillow, and Redfin, etc.  This requires the appraiser to understand data science and its inherent analytical techniques, as well as the ability to use advanced tools and software to identify trends and patterns.

Another important skill in the appraiser’s tool kit should be communication, both written and oral.  Appraisers must be able to communicate their findings clearly, persuasively, and effectively to the public, clients, attorneys, and other professionals.  This means being able to author accurate, detailed, and relevant reports, make cogent and interesting presentations to groups of professionals of varying levels of experience; and participate in discussions with other appraisal and mortgage lending stakeholders.

In addition to research and communication, successful residential real estate appraisers also need to be able to manage numerous complex projects, (not to mention to be able to direct associates and trainees, too), all at the same time.  This involves developing a detailed scope of work for each assignment, coordinating with other professionals both in and outside of the office, and staying organized throughout the entire appraisal development and reporting process.  It also requires strong time management and delegation skills, as well as the ability to prioritize tasks effectively.  These, too, are topics on which we spend no time in appraisal school.

One of the best ways appraisers can develop new skills is to seek out challenging  and uplifting continuing education opportunities (i.e., not take the same old classes cycle after cycle).  For real estate appraisers, this includes attending industry conferences and seminars such as The Valuation Expo and The Appraisal Summit, taking both online and in-person courses from reputable providers, and even pursuing additional certifications or designations¹.  By staying up to date with the latest trends and developments in the industry, appraisers remain competitive and stay ahead of the curve.  Technology is changing so fast in the real estate appraisal industry, it is almost a full-time job just keeping up with it².

Another way to develop new skills is to seek out opportunities to learn from mentors.  Experienced appraisers in addition to your immediate supervisor can offer valuable insights and guidance on everything from market trends to data analysis techniques, to persuasive writing tips³.  By collaborating closely with a mentor, new appraisers can gain valuable experience and develop new skills that will serve them well throughout their professional careers.  It can also help them to spot developing unhealthy appraisal habits and then stop to remediate those before they become ingrained as poor business and ethical practices.

Finally, appraisers should always be willing proactively to seek candid feedback and constructive criticism from those who legitimately provide them (this does not include Facebook® polls).  This can be difficult since no one likes to be told that they are doing something wrong or incorrectly.  However, receiving constructive criticism early in one’s career is an important part of learning and growing as a real estate appraisal professional.  By listening to feedback from mentors, clients, colleagues, and other professionals, appraisers can identify areas for improvement and continue to develop their skills over time.

In conclusion, developing a series of relevant skill sets is an absolute necessity for anyone looking to become a professional real estate appraiser.  From research and communication to project management and adaptability, appraisers need to be well-rounded professionals with a wide and deep range of skills and knowledge.  By seeking continuing education, mentorship, and feedback, appraisers can continue to grow and develop throughout their careers, ensuring that they remain competitive and successful in today’s fast-paced real estate appraisal industry.

¹The major appraisal societies offer designations specifically in residential real estate appraisal. Generally, they are expensive and time-consuming to achieve. But if you want to transition out of the GSE appraisal world, they are a hard-to-beat asset and especially suited to non-lender work.

²USPAP expects appraisers to maintain their competency skills, etc. See 2024 USPAP, specifically the COMPETENCY RULE and SR1-1(a)

³Check with your state appraisal authorities, which may maintain lists of such professionals. Or Google® “appraisal mentoring services”. Such services are available. It is likely these professionals will charge for their time, etc.

© 2025, Timothy C. Andersen and Martin Wagar.  All Rights Reserved.  The authors acknowledge the assistance of ChatGPT in the first draft of this monograph.