Missouri Code of State Regulations › Title 20 - DEPARTMENT OF COMMERCE AND INSURANCE › Division 2245 - Real Estate Appraisers › Chapter 10 - Appraisal Management Company › Section 20 CSR 2245-10.020 - Appraisal Management Company Standards of Practice

Current through Register Vol. 49, No. 14, July 15, 2024
PURPOSE: This amendment clarifies language regarding
				  licensure status of appraisers who wish to work with appraisal management
				  companies.
(1) An appraisal
				management company (AMC) that has been issued a registration by the Missouri
				Real Estate Appraisers Commission under these rules shall be responsible for
				complying with the following:
(A) Shall
				maintain with the commission the name and address of a registered agent for
				service of process and shall furnish the commission within five (5) business
				days of any changes to the information on file;
(B) Shall maintain a complete record of all
				requests for appraisal services referred to state licensed and certified
				appraisers, the amount of fees collected from borrowers or clients as well as
				payments to the appraisers, and shall make such information available upon
				commission request;
(C) Shall
				separately state to the client the fees paid to an appraiser for the appraisal
				services and the fees charged by the appraisal management company for services
				associated with the management of the appraisal process, including procurement
				of the appraiser's services;
(D)
				Shall make available to the commission any and all records that are required to
				be kept or records deemed by the commission to be pertinent to an investigation
				of a complaint against a registrant;
(E) Shall designate a controlling person
				responsible for ensuring compliance with the acts and regulations and shall
				file with the commission a certification identifying the controlling person and
				that individual's acceptance of these responsibilities;
(F) Shall maintain all records for a period
				of five (5) years. Additionally, records that are used in judicial proceedings
				in which the appraiser provided testimony related to the assignment shall be
				retained for at least two (2) years after disposition;
(G) At any time a document filed with the
				commission becomes inaccurate or incomplete the registrant shall within thirty
				(30) days file an amendment correcting the information;
(H) Shall disclose to an appraiser within
				their engagement documents verification of their state registration with the
				Missouri Real Estate Appraisers Commission;
(I) Shall conduct its appraisal management
				services in accordance with the requirements of section 129E(a) through (i) of
				the Truth in Lending Act,
				15 U.S.C.
				1639e(a) through (i), and
				regulations thereunder;
(J) Shall not employ
				any person directly involved in appraisal management services who has a license
				or certificate to act as an appraiser in Missouri or in any other state that
				was refused, denied, cancelled, revoked, or surrendered in lieu of a pending
				revocation and not subsequently granted or reinstated;
(K)
				Shall not knowingly enter into any independent contractor arrangement, whether
				in verbal, written, or in other form, with any person who has had a license or
				certificate to act as an appraiser in Missouri or in any other state refused,
				denied, cancelled, revoked, or surrendered in lieu of a pending revocation and
				not subsequently granted or reinstated;
(L) Shall not
				knowingly enter into any contract, agreement, or other business relationship
				directly involved with the performance of real estate appraisal or appraisal
				management services, whether in verbal, written, or any other form, with any
				entity that employs, has entered into an independent contract arrangement, or
				has entered into any contract, agreement, or other business relationship,
				whether in verbal, written, or any other form, with any person who has ever had
				a license or certificate to act as an appraiser in Missouri or in any other
				state, refused, denied, cancelled, revoked, or surrendered in lieu of a pending
				revocation and not subsequently granted or reinstated;
(M)
				Shall not prohibit an appraiser who is part of an appraiser panel from
				recording the fee that the appraiser was paid by the appraisal management
				company for the performance of the appraisal within the appraisal
				report;
(N) Shall not require an appraiser to modify any
				aspect of an appraisal report unless the modification complies with Uniform
				Standards of Professional Appraisal Practice;
(O) Shall only require
				an appraiser to prepare an appraisal under a time frame that affords the
				appraiser, in their own professional judgment, the ability to meet all relevant
				legal and professional obligations. Appraisers shall decline appraisal
				assignments made outside of such time frame and shall notify the AMC
				accordingly;
(P) Shall not prohibit or inhibit legal or other
				allowable communication between the appraiser and-
1. The lender;
2. A real estate licensee; or
3. Any person from whom the appraiser, in the
				appraiser's own professional judgment, believes the communication would be
				relevant;
(Q) Shall not require the appraiser to do anything
				that does not comply with the-
1. Uniform
				Standards of Professional Appraisal Practice;
2. Sections
				339.500 to
				339.549,
				RSMo, and the regulations promulgated thereunder;
3. Any assignment conditions required by the
				client; or
4. The appraisal
				independence standards of the Truth in Lending Act (TILA);
(R)
				Shall not make any portion of the appraiser's fee or the appraisal management
				company's fee contingent on a predetermined or favorable outcome, including but
				not limited to:
1. A loan closing;
				or
2. Specific dollar amount being
				achieved by the appraiser in the appraisal report;
(S)
				Shall not require an appraiser to provide the appraisal management company with
				the appraiser's digital signature or seal; and
(T) Shall not alter,
				modify, or otherwise change a completed appraisal report submitted by an
				appraiser.