Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 30 - Commercial Licensing › Subchapter 20 - Real Estate › Part 1 - Real Estate Appraisers (formerly Commercial Licensing Regulation 10) (230-RICR-30-20-1) › Section 230-RICR-30-20-1.2 - Definitions

Current through June 14, 2024
A. For the purposes of these rules and
				  regulations, the following terms shall have the following meanings:
1. "Analysis" means the examination or study
				  of real estate or real property other than an estimate of value using an
				  orderly process by which the problem is defined, the work necessary to solve
				  the problem is planned, and the data involved are acquired, classified,
				  analyzed, and interpreted into a final opinion or conclusion.
2. "Appraisal" or "Real Estate Appraisal"
				  means a written or oral analysis, opinion and/or conclusion relating to the
				  nature, quality, value and/or utility of specified interests in, or aspects of,
				  Real Estate. An appraisal may be classified by subject matter into either a
				  Valuation or an Analysis as defined in §
											1.2   of this Part.
3. "Appraisal Foundation" or "Foundation"
				  means the not-for-profit corporation established on November 30, 1987, under
				  the laws of Illinois, and overseen by the ASC in accordance with Title XI of
				  FIRREA, 12 U.S.C.
				  §§
												3331 through
				  3355.. The mission of the
				  Appraisal Foundation is to promote professionalism in appraising. This is
				  accomplished primarily through the work of two independent Boards, the
				  Appraisal Standards Board ("ASB") and the Appraiser Qualifications Board
				  ("AQB"). The AQB is responsible for the generally recognized performance
				  standards of the appraisal profession, USPAP.
4. "Appraisal Process" means a systematic
				  Analysis of the factors that bear upon the value or utility of real
				  estate.
5. "AQB" means the
				  Appraiser Qualifications Board, which is part of the Appraisal Foundation.
6. "AQB Real Property Appraiser
				  Qualification Criteria" or "RPAQC" means the criteria promulgated by the AQB of
				  the Appraisal Foundation, as amended and supplemented, that establish the
				  experience, pre-licensing, and continuing education criteria for real estate
				  appraisal licensure and certification. In accordance with R.I. Gen. Laws §
											5-20.7-1 et seq., specifically
				  §§
											5-20.7-4(c)(6),  5-20.7-7,  5-20.7-9,  5-20.7-10, and  5-20.7-17, the
				  examination, education, and experience requirements of certificate and license
				  holders must meet the minimum standards of the Appraisal Foundation, including
				  the RPAQC.
8. "ASB" means the
				  Appraisal Standards Board, which is part of the Appraisal Foundation.
9. "Appraisal Review" means the
				  act or process of developing and communicating an opinion about the quality of
				  another appraiser's work by a Rhode Island licensed or certified
				  appraiser.
10. "Appraisal
				  Subcommittee" or "ASC" means the body within the Federal Financial Institutions
				  Examination Council as established by
				  12 U.S.C. §
												3310.
11. "Board" means the Real Estate Appraisers
				  Board established pursuant to R.I. Gen. Laws §
											5-20.7-1, et seq.
12. "Certified Appraisal" means an appraisal
				  or appraisal report given or signed and certified as such by a state certified
				  real estate appraiser or state licensed real estate appraiser.
13. "Certified General Real Estate Appraiser"
				  means a person qualified to appraise all types of real property without
				  transaction value limitation.
14.
				  "Certified Residential Real Estate Appraiser" means a person qualified to
				  appraise non-complex single or multi-family dwellings of one to four ( 1-4)
				  units having no maximum transaction value, or property used for complex one to
				  four ( 1-4) residential units having a transaction value of less than two
				  hundred fifty thousand dollars ($250,000).
15. "Complex" means those one to four family
				  residential property appraisals where the property to be appraised, the form of
				  ownership, or the market conditions are atypical.
16. "Core Education" or "Core Curriculum" or
				  "Core Courses" means qualifying education courses covering specified subject
				  matters as listed in the current AQB Real Property Qualification Criteria for
				  each appraiser classification.
17.
				  "Department" shall mean the Rhode Island Department of Business Regulation.
18. "Direct supervision" means:
a. Personally reviewing the work product of
				  the trainee;
b. Approving,
				  signing, and accepting responsibility for each appraisal report that includes
				  the trainee's work product and certifying that such reports have been
				  independently and impartially prepared in compliance with USPAP, these rules,
				  and applicable statutory standards; and
c. Indicating, within the certification
				  section of the appraisal report, the name of the trainee providing significant
				  real property appraisal assistance. For purposes of this subparagraph,
				  "significant" means the exercise of appraisal knowledge and training and does
				  not mean clerical or fact gathering tasks.
19. "Disciplinary action" means the
				  corrective or punitive action taken by the Department or the Board involving
				  any appraiser, whether formal or informal, consensual or involuntary, resulting
				  in any of the following: revocation or suspension of credential, written
				  consent agreements or orders, administrative penalties or fines, probation,
				  formal reprimand notices or any other restriction on the use of a credential,
				  or voluntary surrender in lieu of disciplinary action.
20. "Dodd-Frank Act" means DODD-FRANK WALL
				  STREET REFORM AND CONSUMER PROTECTION ACT of 2010, 124 Stat. 1376, 111 P.L.
				  203, 2010 Enacted H.R. 4173, 111 Enacted H.R. 4173
21. "FIRREA" means Title XI of the Financial
				  Institutions Reform, Recovery, and Enforcement Act of 1989, as amended by the
				  Dodd-Frank Act, 12 U.S.C.
				  §§
												3331 through
				  3355.
22. "Licensed Residential Real Estate
				  Appraiser" means a person qualified to appraise non-complex, one to four ( 1-4
				  ) residential units having a transaction value of less than one million dollars
				  ($1,000,000) and complex, one to four ( 1-4) residential units having a
				  transaction value of less than two hundred fifty thousand dollars
				  ($250,000).
23. "Part Time" means
				  working less than thirty-five (35) hours per week in the appraisal
				  profession.
24. "Real Estate" means
				  an identified parcel or tract of land, including improvements, if any.
25. "Real Property" means one or
				  more defined interests, benefits, and rights inherent in the ownership of real
				  estate.
26. "Residential property"
				  means property that is used for non-complex, single or multi-family dwellings
				  of one to four ( 1-4) units having no minimum transaction value, or property
				  used for complex, one to four ( 1-4) residential units having a transaction
				  value of less than two hundred fifty thousand dollars ($250,000).
27. "Residential Property Appraisal" means an
				  appraisal of property that is used for non-complex single or multi-family
				  dwellings of 1-4 units when a net income capitalization analysis is not
				  required by the terms of the assignment and is consistent with applicable
				  federal requirements and guidelines.
28. "Supervisory Appraiser" means an
				  individual who is a certified residential appraiser or a certified general
				  appraiser in good standing with the Department and who has acknowledged an
				  agreement in writing to perform the responsibilities of a supervisory appraiser
				  set forth in §
											1.9(C)   of this Part.
29. "Trainee" means a person who has met the
				  educational requirements of the AQB of the Appraisal Foundation and who has
				  been issued a trainee license to complete the experience requirement to become
				  a Licensed or Certified Real Estate Appraiser working under the direct
				  supervision of a certified appraiser.
30. "USPAP" means the standards of practice
				  set forth in the Uniform Standards of Professional Appraisal Practice, as
				  promulgated by the Appraisal Standards Board of the Appraisal Foundation, which
				  state certified or licensed real estate appraisers must comply with in
				  accordance with R.I. Gen. Laws §
											5-20.7-19.
31. "Valuation" means a written or oral
				  estimate of the value of Real Estate or Real Property.