Virginia Law

A. Section 54.1-2009 of the Code of Virginia provides definitions for the following terms and phrases used in this chapter:

"Appraisal"

"Appraisal report"

"Board"

"Certified general real estate appraiser"

"Certified residential real estate appraiser"

"Department"

"Director"

"Evaluation"

"Federal financial institutions regulatory agencies"

"Federally related transaction"

"Licensed residential real estate appraiser"

"Real estate"

"Real estate-related financial transaction"

"Real property"

"Regulation"

"Residential real estate appraiser"

B. The following words and terms when used in this chapter, unless a different meaning is provided or is plainly required by the context, will have the following meanings:

"Accredited colleges, universities, junior and community colleges" means those accredited institutions of higher learning approved by the State Council of Higher Education for Virginia or accredited by an accrediting agency recognized by the U.S. Department of Education or a recognized international equivalent.

"Adult distributive or marketing education programs" means those programs offered at schools approved by the Virginia Department of Education or any other local, state, or federal government agency, board, or commission to teach adult education or marketing courses.

"Analysis" means a study of real estate or real property other than the estimation of value.

"Appraisal bias" means bias based on race, ethnicity, or national origin in the opinion of value rendered by an appraiser.

"Appraisal Foundation" means the organization authorized by the U.S. Congress to establish uniform appraisal standards by defining, issuing, and promoting such standards through the Appraiser Qualifications Board, Appraisal Standards Board, and other councils, panels, and subcommittees.

"Appraisal subcommittee" means the designees of the heads of the federal financial institutions regulatory agencies established by the Federal Financial Institutions Examination Council Act of 1978 (12 USC § 3301 et seq.), as amended.

"Appraiser" means an individual who is expected to perform valuation services competently and in a manner that is independent, impartial, and objective.

"Appraiser trainee" means an individual who is licensed as an appraiser trainee to appraise those properties that the supervising appraiser is permitted to appraise.

"Business entity" means any corporation, partnership, association, or other business entity under which appraisal services are performed.

"Certified instructor" means an individual holding an instructor certificate issued by the board to act as an instructor.

"Classroom hour" means 50 minutes out of each 60-minute segment. The prescribed number of classroom hours includes time devoted to tests, which are considered to be part of the course.

"Distance education" means an educational process based on the geographical separation of provider and student.

"Experience" as used in this chapter includes experience gained in the performance of fee or staff appraisal assignment, ad valorem tax appraisal, review appraisal, appraisal analysis, real estate consulting, highest and best use analysis, feasibility analysis or study, and other appraisal training authorized under state law.

For the purpose of this chapter, experience has been divided into four major categories: (i) fee and staff appraisal, (ii) ad valorem tax appraisal, (iii) review appraisal, and (iv) real estate consulting.

1. "Fee and staff appraiser experience" means experience acquired as a sole appraiser, as a cosigner, or through disclosure of assistance in the certification in accordance with the Uniform Standards of Professional Appraisal Practice.

2. "Ad valorem tax appraisal experience" means experience obtained by an individual who assembles and analyzes the relevant facts and who correctly employs those recognized methods and techniques that are necessary to produce and communicate credible appraisals within the context of the real property tax laws.

3. "Reviewer experience" means experience obtained by an individual who examines the reports of appraisers to determine whether their conclusions are consistent with the data reported and other generally known information. An individual acting in the capacity of a reviewer does not necessarily make personal inspection of real estate but does review and analyze relevant facts assembled by fee and staff appraisers and by the use of reason and exercise of judgment forms objective conclusions as to the validity of fee and staff appraisers' opinions.

4. "Real estate consulting experience" means experience obtained by an individual who assembles and analyzes the relevant facts and by the use of reason and the exercise of judgment forms objective opinions concerning matters other than value estimates relating to real property.

"Inactive license" means a license status in which the licensee may not practice but can renew the license without meeting continuing education requirements.

"Licensed residential real estate appraiser" means an individual who meets the requirements for licensure for the appraisal of or the review appraisal of any noncomplex, residential real estate or real property of one-to-four residential units, including federally related transactions, where the transaction value or market value as defined by the Uniform Standards of Professional Appraisal Practice is less than $1 million, and complex one-to-four residential units having a transaction value less than $400,000. Licensed residential real estate appraisers may also appraise or provide a review appraisal of noncomplex, nonresidential properties with a transaction value or market value as defined by the Uniform Standards of Professional Appraisal Practice up to $250,000, whichever is the lesser.

"Licensee" means any individual holding a license issued by the board to act as a certified general real estate appraiser, certified residential real estate appraiser, licensed residential real estate appraiser, or appraiser trainee as defined, respectively, in § 54.1-2009 of the Code of Virginia and in this chapter.

"Proprietary school" means a privately owned school offering appraisal or appraisal-related courses approved by the board.

"Provider" means accredited colleges, universities, or junior and community colleges; adult distributive or marketing education programs; local, state, or federal government agencies, boards, or commissions; proprietary schools; or real estate appraisal or real estate related organizations.

"Registrant" means any corporation, partnership, association, or other business entity that provides appraisal services and that is registered with the board in accordance with § 54.1-2011 E of the Code of Virginia.

"Reinstatement" means having a license or registration restored to effectiveness after the expiration date has passed.

"Renewal" means continuing the effectiveness of a license or registration for another period of time.

"Sole proprietor" means any individual, but not a corporation, partnership, or association, who is trading under the individual's own name, or under an assumed or fictitious name pursuant to the provisions of §§ 59.1-69 through 59.1-76 of the Code of Virginia.

"Substantially equivalent" means any educational course or seminar, experience, or examination taken in this or another jurisdiction that is equivalent in classroom hours, course content, and subject, respectively, to those requirements outlined in this chapter and Chapter 20.1 (§ 54.1-2009 et seq.) of Title 54.1 of the Code of Virginia for licensure and renewal.

"Supervising appraiser" means any individual holding a license issued by the board to act as a certified general real estate appraiser or certified residential real estate appraiser who supervises any unlicensed individual acting as a real estate appraiser or an appraiser trainee as specified in this chapter.

"Transaction value" means, for the purpose of this chapter, (i) for appraisal assignments carried out as part of a loan transaction, the amount of the loan, or (ii) for appraisal assignments carried out for other than a loan transaction, the market value of the real property interest.

"Uniform Standards of Professional Appraisal Practice" means the 2020-2021 edition of those standards, effective January 1, 2020, or the 2024 Edition, effective January 1, 2024, of Uniform Standards of Professional Appraisal Practice as incorporated by reference into this chapter, which is promulgated by the Appraisal Standards Board of the Appraisal Foundation for use by all appraisers in the preparation of appraisal reports, and pursuant to the preparation date on the report.

"Valuation" means an estimate or opinion of the value of real property.

"Valuation services" means services pertaining to aspects of property value.