Free Print File - Michigan

Michigan Department of Energy, Labor & Economic Growth Bureau of Commercial Services Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 517-241-9231 Fax: 517-241-7539 www.michigan.gov/bcstesting

INSTRUCTIONS FOR REAL ESTATE APPRAISER CONTINUING EDUCATION & PRELICENSURE SPONSORS COURSE APPROVAL
Classes May Not Be Scheduled or Advertised Until Sponsor Has Received Approval from the Department (Includes advertising as "Pending Approval")

General Information Michigan's education program is regulated by law and rule. Therefore, all approved Sponsors, whether they are located in or outside the State of Michigan are required to be in compliance with the regulations. Sponsors must receive Department approval for all education material offered to licensees. Education curricula may either be purchased from an already-approved source or written by the Sponsor and submitted for approval. If purchasing material that has already been approved, the application approval process generally takes less time. Definitions 1. Course: program of study, taught by a sponsor, constructed to meet the requirements established by law and rule. Rule 307(4) Department approved courses shall expire 3 years from the date of the course approval, at which time the course approval shall be subject to renewal. 2. Sponsor Approval Number: the unique identifier given to indicate that a Sponsor is approved 3. Course Approval Number: the unique identifier given to each approved course 4. Course Outline: the curriculum outline This outline must contain information which allows the state to determine whether it is accurate and relevant, based upon law and rule. You may want to include objectives and/or a written summary of the course. 5. IDECC Approval (DISTANCE ONLY). The course has received approval of the international distance education certification center for the course design and delivery mechanism. Private Occupational Schools Application must also be made to the Michigan Department of Energy, Labor & Economic Growth, Proprietary School Unit, by any private entity wishing to offer Real Estate Appraisal courses for prelicensure credit. Approval by the Proprietary School Unit is given in conjunction with Testing, Education & Program Services. Approval cannot be issued until all items are coordinated between the two units. You can contact the Proprietary School Unit at (517) 373-6774, or visit their website at www.michiganps.net, for information regarding the requirements for obtaining a proprietary school license.

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Application Process When filing a Sponsor application, the following documents are required. Please refer to the checklist to ensure that your application is complete before submitting it. Incomplete applications will be denied if all required information is not received. 1. Real Estate Appraiser Continuing Education and Prelicensure Course Approval Application and Notice (BCS/LAP-100). This must be completed in its entirety in order to be processed. 2. Topic Matrix (BCS/LAP-100A) (Prelicensure Courses Only) This is required for all prelicensure courses. 3. Timed Course Outline/Detailed Description This must indicate how many minutes will be given to each subject as well as the total number of hours requested for the course. The detailed description must contain information which allows the state to determine whether it is accurate and relevant, based upon law and rule. You may want to include objectives and/or a written summary of the course. 4. List of Textbooks and/or reference materials to be used 5. Certificate of Completion All participants who have successfully completed the course, as approved by the Department, must receive a certificate. Please review the Application Checklist for the information to be included on this form. Certificates must list all Department-assigned course approval numbers for each course taught. This will help avoid the possibility that a licensee completes a duplicate course for which credit will not be granted. Instructors Rule 309(3) A sponsor shall select as instructors only individuals who can demonstrate mastery of the material being taught and who possess 1 of the following qualifications: (a) Experience as a faculty member of an institution of higher education that is authorized to grant degrees. (b) A state licensed, certified residential or certified general appraiser with 3 years of appraisal experience. (c) Other experience acceptable to the sponsor for courses other than prelicensure courses. (4) Instructors of the uniform standards of professional appraisal practice (USPAP) shall have complied with the Appraisal Qualifications Board (AQB) instruction certification program as required by the real property appraiser qualification criteria. Additional Information Session Length. Rule 321 (1)(b) the number of classroom hours to be given for completion of the course. As provided in Section 2617 of the act, a course shall not be less than 2 classroom hours in length. For distance learning systems, "clock hour" means the amount of material a student can process in 50 minutes of computerized instruction.

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NOTE: If a sponsor requests approval to teach six hours, the participant must complete the entire course to receive credit. For example, if a licensee needs only two hours to complete the CE requirement and enrolls in an approved, six-hour course, he/she is required to complete the entire course in order to receive a completion certificate. They may not complete just two hours and receive credit. Verification of Attendance Within 15 business days after a course ends; a sponsor shall certify to the department the names of students who complete an approved course by a method or on forms approved by the department. (BCS/LAP-120) Student Records - Prelicensure Rule 319(1) A course sponsor shall establish and permanently maintain a record for each student. The records shall contain all of the following information: (a) The student's name and address (b) The number of classroom hours attended. (c) The title of the course and the date of course completion (d) The student's grade. Student Records ­ Continuing Education Rule 323(1) A course sponsor shall establish and permanently maintain a record for each student. The records shall contain all of the following information: (a) The student's name and address (b) The number of classroom hours attended. (c) The title of the course and the date of course completion Processing Timeframes Please allow 60 days for processing. The Department will notify you in writing of approval, notice of incomplete application, or denial. Advertising Remember that courses cannot be advertised, scheduled or held until they have been approved by the Department.

If all of these instructions are followed carefully, it will help ensure that the application is complete. If there is any information contained herein that is not clear, applicants are encouraged to contact Testing, Education & Program Services Unit for assistance at 517-241-9231. Thank you for your cooperation and attention to the information presented here.

Michigan Department of Energy, Labor and Economic Growth Bureau of Commercial Services Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 517-241-9231 Fax: 517-241-7539 www.michigan.gov/bcstesting

APPLICATION CHECKLIST FOR COURSE APPROVAL FOR REAL ESTATE APPRAISER CONTINUING EDUCATION AND PRELICENSURE COURSES The following checklist is for your use in assembling and submitting the materials required for your application to offer courses. You do not have to return this form. Real Estate Appraiser Continuing Education and Prelicensure Course Approval Application and Notice. (BCS/LAP-100) Topic Matrix (Required for all Prelicensure Courses) Proprietary School Unit License (Proprietary Schools Only) Timed Course Outline & Detailed Course Description ­ Must include: Sponsor Name, Address and Telephone Number Name of the Subject(s) to be taught Number of minutes each subject is given, inserting number of minutes for any breaks or lunch ­ (Minimum of one [1], 15-minute break is mandatory for each two hours of instruction) Detailed Course Description Written summary/description of course (Instructor notes, Powerpoint, etc.) List of textbooks and/or reference materials to be used IDECC Certification (Distance Courses) Required for all distance education courses. AQB Approval If course is AQB approved submit a copy of approval letter. Sample Certificate of Completion ­ Must contain, at a minimum: The name of the student The name of the sponsor & sponsor number The name of the course attended The number of classroom hours completed by the student. The date of course completion Signature of Sponsor Coordinator or Instructor

BCS/LAP-100 (01/09) Michigan Department of Energy, Labor & Economic Growth Bureau of Commercial Services Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 517-241-9231 Phone; Fax: 517-241-7539 www.michigan.gov/bcstesting

This document can be completed on-line, printed and mailed to Testing, Education & Program Services. This form cannot be submitted electronically. If you need to clear the form for any reason, click the clear button.

REAL ESTATE APPRAISER CONTINUING EDUCATION AND PRELICENSURE COURSE APPROVAL APPLICATION AND NOTICE
AUTHORITY: P.A. 299 of 1980, as amended COMPLETION: Mandatory PENALTY: Failure to complete may result in denial of your application

Instructions: Sponsor should complete the application, Part A, B, C, and D where applicable and submit all required documentation. Upon approval, a copy of this form will be returned with part E completed for the Sponsor's records. If you are requesting approval for a prelicensure course, complete the Topic Matrix (BCS/LAP-100A) that is attached.

A. COURSE INFORMATION (Complete one form for each course offered; information listed will appear on the Department website.)
Course Name Sponsor Name

Web Address

E-mail Address

Number of Classroom Hours

Course Type Con-Ed

Online (Complete Prelicensure Topic Matrix) Nonprofit Assoc. Proprietary School

Sponsor Telephone Number

MI Sponsor Number, If Known

Sponsor Type

College or University Government Agency

Proprietary School State Approval MI License #: Complete Address of Sponsor Out-Of-State Submit copy of approval to operate

Contact Person/Coordinator

Contact Person Telephone Number

City, State, Zip Code

B. ATTENDANCE POLICY
How is attendance monitored? Sign In Other - Please describe:

Is there a class makeup policy? If yes, please describe. Yes No

C. INSTRUCTOR QUALIFICATIONS
Instructor Name(s) License Type License No. If not an appraiser, explain qualifications

D. EXAM INFORMATION (Optional except for Prelicensure Courses)
Describe method of grading (include passing/failing scores) Describe other standards student must meet to pass the course

E. DEPARTMENT APPROVAL (For Office Use Only)
Sponsor Number Can Be Applied Toward Prelicensure Con-Ed Course No. Assigned Hours Approved Approval Signature Date Approved Both

Course Type - Prelicensure Only Res Non-Residential

DLEG is an equal opportunity employer/program. Auxiliary aids, services and other reasonable accommodations are available upon request to individuals with disabilities.

BCS/LAP-100A (01/09) Michigan Department of Energy, Labor & Economic Growth Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 (517) 241-9231 FAX (517) 241-7539 www.michigan.gov/bcstesting Page 1 of 7

TOPIC MATRIX

General Matrix Model Revised AQB Real Property Appraiser/Criteria Core Curriculum Guide Note 1 Curriculum Content GN-1 Subtopics Basic Appraisal Principles (30 Hours) A. RP Concepts & Characteristics 1 Basic Real Property Concepts 2 Real Property Characteristics 3 Legal Description (Physical) B. Legal Consideration 1 Forms of Ownership 2 Public and Private Controls 3 Real Estate Contracts 4 Leases C. Influences on Real Estate Values 1 Governmental 2 Economic 3 Social 4 Environmental, Geographic & Physical D. Types of Value 1 Market Value 2 Other Value Types E. Economic Principles 1 Classic Economic Principles 2 Application & Illustration of Economic Principles F. Overview of Real Estate Markets & Analysis 1 Market Fundamentals, Characteristics & Definitions 2 Supply Analysis 3 Demand Analysis 4 Use of Market Analysis G. Ethics & How They Apply in Appraisal Theory & Practice Exam Hours Qualification Criteria Hours Appraiser Trainee Req. Comp. Bal. 30 Licensed Residential Req. Comp. Bal. 30 Certified Residential Req. Comp. Bal. 30 Certified General Req. Comp. Bal. 30

BCS/LAP-100A (01/09) Michigan Department of Energy, Labor & Economic Growth Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 (517) 241-9231 FAX (517) 241-7539 www.michigan.gov/bcstesting Page 2 of 7

TOPIC MATRIX

General Matrix Model Revised AQB Real Property Appraiser/Criteria Core Curriculum Guide Note 1 Curriculum Content GN-1 Subtopics Basic Appraisal Procedures (30 Hours) A. Overview of Approaches to Value B. Valuation Procedures 1 Defining the Problem 2 Collecting & Selecting Data 3 Analyzing 4 Reconciling & Final Value Opinion 5 Communicating the Appraisal C. Property Description 1 Geographic Characteristics of the Land/Site 2 Geologic Characteristics of the Land/Site 3 Location & Neighborhood Characteristics 4 Land/Site Considerations for Highest & Best Use 5 Improvements - Architectural Styles & Types of Construction D. Residential Application Exam Hours Qualification Criteria Hours Appraiser Trainee Req. Comp. Bal. 30 Licensed Residential Req. Comp. Bal. 30 Certified Residential Req. Comp. Bal. 30 Certified General Req. Comp. Bal. 30

The 15-Hour National USPAP Course (or its equivalent) A. Preamble and Ethic Rule B. Standard 1 C. Standard 2 D. Standards 3 to 10 E. Statements & Advisory Opinions Exam Hours

15

15

15

15

BCS/LAP-100A (01/09) Michigan Department of Energy, Labor & Economic Growth Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 (517) 241-9231 FAX (517) 241-7539 www.michigan.gov/bcstesting Page 3 of 7

TOPIC MATRIX

General Matrix Model Revised AQB Real Property Appraiser/Criteria Core Curriculum Guide Note 1 Curriculum Content GN-1 Subtopics Residential Market Analysis & Highest & Best Use (15 Hours) A. Residential Markets & Analysis 1 Market Fundamentals, Characteristics & Definitions 2 Supply Analysis 3 Demand Analysis 4 Use of Market Analysis B. Highest & Best Use 1 Test Constraints 2 Application of Highest & Best Use 3 Special Considerations 4 Market Analysis 5 Case Studies Exam Hours Qualification Criteria Hours Appraiser Trainee Req. Comp. Bal. Licensed Residential Req. Comp. Bal. 15 Certified Residential Req. Comp. Bal. 15 Certified General Req. Comp. Bal.

Residential Appraiser Site Valuation & Cost Approach (15 Hours) A. Site Valuation 1 Methods 2 Case Studies B. Cost Approach 1 Concepts & Definitions 2 Replacement/Reproduction Cost New 3 Accrued Depreciation 4 Methods of Estimating Accrued Depreciation 5 Case Studies Exam Hours

15

15

BCS/LAP-100A (01/09) Michigan Department of Energy, Labor & Economic Growth Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 (517) 241-9231 FAX (517)241-7539 www.michigan.gov/bcstesting Page 4 of 7

TOPIC MATRIX

General Matrix Model Revised AQB Real Property Appraiser/Criteria Core Curriculum Guide Note 1 Curriculum Content GN-1 Subtopics Residential Sales Comparison & Income Approaches (30 Hours) A. Valuation Principles & Procedures-Sales Comparison Approach B. Valuation Principles & Procedures-Income Approach C. Finance & Cash Equivalency D. Financial Calculator Introduction E. Identification, Derivation & Measurement of Adjustments F. Gross Rent Multipliers G. Partial Interests H. Reconciliation I. Case Studies & Applications Exam Hours Qualification Criteria Hours Appraiser Trainee Req. Comp. Bal. Licensed Residential Req. Comp. Bal. 30 Certified Residential Req. Comp. Bal. 30 Certified General Req. Comp. Bal.

Residential Report Writing & Case Studies (15 Hours) A. Writing & Reasoning Skills B. Common Writing Problems C. Form Reports D. Report Options & USPAP Compliance E. Case Studies Exam Hours

15

15

Statistics, Modeling & Finance (15 Hours) A. Statistics B. Valuation Models (AVM's & Mass Appraisal) C. Real Estate Finance Exam Hours

15

15

BCS/LAP-100A (01/09) Michigan Department of Energy, Labor & Economic Growth Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 (517) 241-9231 FAX (517) 241-7539 www.michigan.gov/bcstesting Page 5 of 7

TOPIC MATRIX

General Matrix Model Revised AQB Real Property Appraiser/Criteria Core Curriculum Guide Note 1 Curriculum Content GN-1 Subtopics Advanced Residential Applications & Case Studies (15 Hours) A. Complex Property, Ownership & Market Conditions B. Deriving & Supporting Adjustments C. Residential Market Analysis D. Advanced Case Studies Exam Hours Qualification Criteria Hours Appraiser Trainee Req. Comp. Bal. Licensed Residential Req. Comp. Bal. Certified Residential Req. Comp. Bal. 15 Certified General Req. Comp. Bal.

General Appraiser Market Analysis & Highest & Best Use (30 Hours) A. Real Estate Markets & Analysis 1 Market Fundamentals, Characteristics & Definitions 2 Supply Analysis 3 Demand Analysis 4 Use of Market Analysis B. Highest & Best Use 1 Test Constraints 2 Application of Highest & Best Use 3 Special Considerations 4 Market Analysis 5 Case Studies Exam Hours General Appraiser Sales Comparison Approach (30 Hours) A. Value Principles B. Procedures C. Identification & Measurement of Adjustments D. Reconciliation E. Case Studies Exam Hours

30

30

BCS/LAP-100A (01/09) Michigan Department of Energy, Labor & Economic Growth Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 (517) 241-9231 FAX (517) 241-7539 www.michigan.gov/bcstesting Page 6 of 7

TOPIC MATRIX

General Matrix Model Revised AQB Real Property Appraiser/Criteria Core Curriculum Guide Note 1 Curriculum Content GN-1 Subtopics General Appraiser Site Valuation & Cost Approach (30 Hours) A. Site Valuation 1 Methods 2 Case Studies B. Cost Approach 1 Concepts & Definitions 2 Replacement/Reproduction Cost New 3 Accrued Depreciation 4 Methods of Estimating Accrued Depreciation 5 Case Studies Exam Hours Qualification Criteria Hours Appraiser Trainee Req. Comp. Bal. Licensed Residential Req. Comp. Bal. Certified Residential Req. Comp. Bal. Certified General Req. Comp. Bal. 30

General Appraiser Income Approach (60 Hours) A. Overview B. Compound Interest C. Lease Analysis D. Income Analysis E. Vacancy & Collection Loss F. Estimating Operating Expenses & Reserves G. Reconstructed Income & Expense Statement H. Stabilized Net Operating Income Estimate I. Direct Capitalization J. Discounted Cash Flow K. Yield Capitalization L. Partial Interests M. Case Studies Exam Hours

60

BCS/LAP-100A (01/09) Michigan Department of Energy, Labor & Economic Growth Testing, Education & Program Services P.O. Box 30018, Lansing, MI 48909 (517) 241-9231 FAX (517) 241-7539 www.michigan.gov/bcstesting Page 7 of 7

TOPIC MATRIX

General Matrix Model Revised AQB Real Property Appraiser/Criteria Core Curriculum Guide Note 1 Curriculum Content GN-1 Subtopics General Appraiser Report Writing & Case Studies (30 Hours) A. Writing & Reasoning Skills B. Common Writing Problems C. Report Options & USPAP Compliance D. Case Studies Exam Hours Qualification Criteria Hours Appraiser Trainee Req. Comp. Bal. Licensed Residential Req. Comp. Bal. Certified Residential Req. Comp. Bal. Certified General Req. Comp. Bal. 30

Appraisal Subject Matter Electives (20 Hrs Cert. Res.) (30 Hrs Cert. Gen.)

20

30

Exam

TOTAL HOURS

75

150

200

300

BCS/LAP-120 (01/09) Michigan Department of Energy, Labor & Economic Growth Bureau of Commercial Services Testing, Education & Program Services P.O. Box 30018 Lansing, MI 48909 517-241-9231 Telephone; 517-241-7539 Fax www.michigan.gov/bcstesting

This document can be completed on-line, printed and mailed to Testing, Education & Program Services. This form cannot be submitted electronically. If you need to clear the form for any reason, click the clear button.

REAL ESTATE APPRAISER CONTINUING EDUCATION & PRELICENSURE COURSE REPORT

AUTHORITY: P.A. 299 of 1980, as amended COMPLETION: Mandatory PENALTY: Failure to complete may result in education credit not being recorded

INSTRUCTIONS: Report attendance within 15 business days of the completion date for each course. Please type or print legibly and provide all required information requested. Incomplete or illegible forms will be returned for correction. Instructors wishing to receive continuing education credit for teaching a course must be listed under the Student Information section. Credit for teaching a course can be granted only once per licensing year. Note: Each course number & type (prelicensure or con-ed) must have its own course report submitted.

Course Information
Sponsor Number Sponsor Name Sponsor Telephone Number

Course Number

Prelicensure Con-Ed

Course Title

Course Beginning Date

Classroom Hours

Instructor Name

Contact Person Name

Course Ending Date

Course Location and Complete Address

Student Information - All information is required in order to receive education credit - Type or print legibly
Appraiser License Number License Type* Student Name Appraiser License Number License Type* Student Name

*License Type Key: L-Limited Appraiser; SL-State Licensed Appraiser; CR-Certified Residential Appraiser; CG-Certified General Appraiser
DELEG is an equal opportunity employer/program. Auxiliary aids, services and other reasonable accommodations are available upon request to individuals with disabilities.