Real Estate Appraiser Job Description, Skills, and Salary
Get to know about the duties, responsibilities, qualifications, and skills requirements of a real estate appraiser. Feel free to use our job description template to produce your own. We also provide you with information about the salary you can earn as a real estate appraiser.
Who is a Real Estate Appraiser?
A Real Estate Appraiser is someone who estimates the value of a building or a piece of land before it is sold, insured, mortgaged, and taxed. Real estate appraisers work in a place they are conversant with and they also have background information about any issue that will affect the property value. A real estate appraiser can also be called an assessor and after visiting a site and observing its distinct characteristics and also the characteristics of the location; the appraiser analyzes the property. They usually value one property at a time and they usually specialize in commercial or residential real estate.
When estimating a property’s value; appraisers take into cognizance the property’s environment which implies whether it is noisy or there is a highway close to it. They also take into consideration the condition of the building’s foundation and if the roof of the building needs further renovations. More so, they take a photograph of the building that is both the interior and exterior of the building to document their condition. After visiting the property, the appraiser estimates the value of the building by taking note of some essential things such as comparable home sales, lease records, location, views, and previous assessment by appraisals and income potentials. During the entire process, an appraiser documents their research, strategy, and observation used in calculating property value.
There are various tools real estate appraisers use to complete their work. When working on-site, they usually use measuring tools to check property dimensions. They also use the camera to take a photograph of the property. In addition, they also bring notebooks to record different impressions or homeowner–provided information. They are also given access to records in local government databases to compare similarly valued properties. There are varieties of software they use but they focus on business intelligence software and financial analysis software.
The workplace of an appraiser is a unique one: most appraisers spend a large part of their duty in the field while they also take out some time to work in the office. Most work full time during regular business hours and the time spent in the office depends on the area of specialization. Residential appraisers spend so much time in the office compared to those who may end up spending so much time in the field analyzing information and drafting reports on a client’s property. Appraisers who work for financial institutions such as banks and mortgage companies spend most of their time inside the office and they also visit the field when necessary.
Real estate appraisers work full time during their business or office hours but some appraisers fondly called independent fee appraisers usually work more than the normal 40-hour workweek, their work includes writing reports during evenings and mornings.
Types of Employment for Appraisal Professionals
- Residential Real Estate Appraiser
A residential real estate appraiser estimates single-family residences and two-to-four unit residential properties. Most residential real estate appraisals prepare form by appraisers compared to narrative appraisers. The residential appraisers do not have the skills set to perform commercial appraisals.
- Commercial Property Appraiser: the Commercial appraiser appraises all types of real estate including single-family residences. Most commercial property appraisal reports are narrative and not form reports like residential real estate. The commercial property assessments or analyses focus on the financial benefits of property ownership and complex mathematics concepts on the job site.
- In-House (Staff) Appraising
Real Estate Appraisers can work in financial institutions and prepare independent appraisals or review appraisals on a full-time basis as an employee of a financial institution. These positions are available nationally, regionally, and with mortgage investors and local lenders.
- Review Appraising
Review appraising opportunities are available for independent fee appraisers as well as in-house appraisers. In-house appraisers are usually found at government institutions or agencies and financial institutions that review the work fees of appraisers. The responsibility of these appraisers is to coordinate and spearhead the process of a financial institution. This function is known as risk management for the financial institution or agency. There are job opportunities for review appraisers with backgrounds in residential real estate appraisal and commercial appraisal.
Many of the employees of the ad valorem tax assessor’s office have real estate appraisal training. The techniques differ (mass appraisal) from fee appraiser but the concepts are the same.
Real Estate Appraiser Job Description
Below are the real estate appraiser job description examples you can use to develop your resume or write a job description for your employee. Employers can also use it to sieve out job seekers when choosing candidates for interviews.
- Conduct formal appraisals of real property or land before it is sold, insured, taxed, developed, or mortgaged.
- Analyze properties to establish monetary value and property ratings using internal and external sources
- Keep abreast of current estate market conditions and their effect on the apartment and commercial real estate markets in the assigned geographic area
- Managing data and which includes collection, verification, and sale analysis, pending sales, and listings, as well as maintaining other information needed for the valuation process.
- Keeps records of property by indicating any changes in property
- Prepares and defends division in informal and formal appeal proceedings with assistance as needed from senior appraisers and manager
- Photograph the interior and exterior of properties
- Prepare documented reports on property value
- Inspect new and old properties taking note of unique features
- Making on-site visitation, inspecting properties, and interviewing clients
- Interpret assessments results and outline strategies used
- Examine all variables that impact property’s present or future value (comparable home sales, previous record sales,s, and future developments,).
- Following strictly all current regulations, standards, and best practices.
- A Bachelor’s degree in Finance, Economics, Computer science, and Mathematics or any relevant field.
- Advance computer knowledge and familiarity with applications like MS Office, Costar, or any relevant software.
- Work experience as a real estate appraiser
- Familiarity with the emerging trends in the industry which includes rules, regulation, and standards
- Licensed or a certified appraiser
- Strong analytical and research skills
- Excellent writing and communication skills.
There are some essential soft skills a real estate appraisal needs apart from his/her bachelor degree and they are:
- Critical Thinking: the ability to think deeply and come up with various alternatives when making decisions is a requisite skill every real estate appraiser needs. There may be a situation that can come up on the job site and your ability to think critically will bring a lot of improvement.
- Verbal Communication: you will need to communicate information to clients so as not to be misunderstood by them. You also need this skill to communicate with your team.
- Writing Skill: this job requires that you write a lot of reports based on the researches you have conducted. Writing skills will help you to draft excellent reports for your clients.
- Listening Skills: To meet up with your client’s demands; you must understand what they are saying. Give a listening ear to the client’s suggestions and complaints. This will show that you are very understanding and amicable. In addition, giving your clients a listening ear will build a business-friendly relationship between you and your client.
- Technical Skills: this is a core skill and you should possess strong technical skills including proficiency in the use of computer applications and electronic communication. In addition, a good knowledge of the online presence will be an added advantage.
- Mathematical and Analytical Skills: you must possess strong analytical and mathematical skills to accurately estimate the monetary or market value of a land or building before it is sold. Mathematical skill is a core skill because any inaccuracy can put your career at risk.
- Ability to multitask: you should be able to handle multiple tasks or priorities and meet up deadlines in a fast-paced environment.
- Reading Comprehension: The ability to understand written documents is a requisite especially previous research conducted by real estate appraisers.
How to Become a Real Estate Appraiser
- Acquire a Bachelor Degree
You will a bachelor’s degree to work as a real estate appraiser. You can acquire a bachelor’s degree in the following courses: Real estate law, English, Business administration, Mathematics, Economics, Finance, and Computer Science, and any other relevant course. Courses generally should focus on cost approach, appraisal principles and procedures, residential report writing, and site valuation. The requirement will solely non the value of property appraisers work on.
- Acquire a Trainee License
All states require appraisers to start their employment as trainee appraisers. To become qualified for a License Trainee Real Property Appraiser’s title, you will need to complete and pass a minimum of 75 credit hour coursework from ABQ- provider. ABQ simply means Appraiser Qualification Board and it is solely responsible for setting the appraiser’s education standard.
- Go for Internship
Before you become a licensed real estate property appraiser, you need to work 1000 hours under the supervision of a professional or experienced appraiser for at least six months. You can find a trainee vacancy at banks or appraisal firms
- Pass the State License
The first step to becoming a licensed real estate appraiser is to pass the exams. The exam usually covers questions on appraisal math, real estate markets, and legal considerations. Once you excel in the exams; you can apply for your license and obtain it. The state license grants you assess to appraise non-complex, one –to four0unit residential properties worth less than $ 1 million.
- Get Certified
Once you have obtained your degree and license to acquire for state certification; you can choose between residential or general property appraiser certificates. There are national and state requirements to become a certified residential appraiser. A university degree, the right experience, and additional studies are very essential. All information you need is readily available at the Appraisal Institute which is an association of professional real estate appraisers.
Certification is very essential to work on federal contracts or be a supervising appraiser. You need to get certified to appraise complex properties or properties that are valued at more than $1 million.
Being a certificate increases your chances of getting job opportunities because many banks and other financial institutions need appraisers for high-value properties.
- Further your Education: Licensed and certified real estate appraisers are mandated to take continuing courses to become professional.
Where can a Real Estate Appraiser Work?
- Local Government: Real Estate appraisers can work for local government agencies as appraisers or assessors. Their duties are: maintaining legal records and performing assessments for property task determinations on commercial properties.
- Real Estate
In the real estate industry, appraisers can work under a broker or be self-employed and they often specialized in residential properties. They also play a paramount role by assisting in drafting accurate financial models for the housing market.
- State Government
State government agencies and institutions employ a large number of real estate appraisers where their services ranches from maintaining records that assess and appraise different properties. These professionals also play a vital role in property tax determination for commercial properties.
- Credit Intermediation
Intermediary entities primarily lend funds for activities such as mortgage or loan brokerage often employs real estate appraisers.
- Land Subdivision
Real estate appraisers primarily evaluate lands and create charts and diagrams to back up their findings in appraisal reports. This expertise is essential when subdividing land in the construction industry.
Real Estate Appraiser Salary
- An entry-level appraiser makes around $64,011 per year while a residential appraiser makes around $90 to $175 per day or $21,600 to $42,000 per year,
Experienced residential appraisers $75,000 to $87,500 per year while the annual salary for a commercial appraiser is $150,000 of the gross revenue per year.
- In Nigeria, a person working in real estate earns around 384,000NGN per month. Salaries range from 141,000NGN to 655,000NGN as the highest average. Salaries vary for real estate careers. This is the average monthly salary including housing, transport, and other benefits/
- In the United States, the salary of a real estate appraiser is around $54,710 per year. Senior-level real estate appraiser earns $36.38 per hour and $75,666 per year. Mid-level real estate appraiser earns $26.30 per hour and $54,710 per year. Junior-level real estate appraiser earns $19.02 per hour and $39,557 per year. An entry-level appraiser states by earning $14.20 per hour and $29,544 per year.
- In Canada, a real estate appraiser earns $63,647 per year and will earn more as he/she continues to expand professionally.