32 States Indicate Acceptance of PAREA to Satisfy Appraisal License Requirements
Thirty-two states have indicated that they will accept completion of an Appraiser Qualifications Board-approved Practical Applications of Real Estate Appraisal Program, known as PAREA, to satisfy all or part of the experience requirements for individuals to become licensed residential or certified residential appraisers.
PAREA provides another pathway for aspiring appraisers to fulfill their experience requirements by offering practical experience in a virtual environment that combines appraisal theory and methodology in real-world simulations. Current state actions include:
- Nebraska Gov. Pete Ricketts on April 18 signed LB 707, legislation that authorized PAREA.
- Louisiana is considering SB 367, a bill that would authorize the acceptance of PAREA and also reestablish the state’s licensed residential appraiser credential.
- Colorado, Maine, Montana, Ohio and Oklahoma have indicated that they will accept PAREA.
- Arkansas, the District of Columbia, Florida, Iowa, Kentucky, New Hampshire, New Mexico, North Carolina, Pennsylvania, South Dakota, Utah and Washington are either actively debating PAREA or drafting proposed rules to authorize its full acceptance.
- Arizona, Michigan, Minnesota, Mississippi, New Jersey, North Dakota, Rhode Island, South Carolina, Tennessee, Texas and Vermont fully incorporate the Real Property Appraiser Qualification Criteria into their statutes and regulations. Because PAREA is now part of their criteria, it should be an acceptable path in these states. However, several “incorporation states” are conducting additional discussions regarding PAREA. It’s worth noting that the District of Columbia, Louisiana, Montana, North Carolina and Oklahoma incorporate the criteria, but also have adopted or proposed additional rules or legislation regarding PAREA.
- California and Kansas have indicated that they will accept completion of PAREA, but only to satisfy 50% of the experience requirements for licensed and certified residential appraisers.