SB320 Summary

• Renames the Alabama Real Estate Appraisers Act to the Alabama Real Estate Appraisers and Appraisal Management Company Registration and Regulation Act and establishes a registration system for appraisal management companies under the State of Alabama Real Estate Appraisers Board.

• Requires appraisal management companies to register with the board, submit a $25,000 surety bond, and comply with standards including verifying appraiser credentials, conducting periodic quality reviews, and maintaining records for five years.

• Prohibits appraisal management company owners with denied or revoked appraiser licenses from operating and restricts employees involved in appraisals from performing review services unless they hold current Alabama appraiser certifications.

• Bans improper influence on appraisals including withholding payment, conditioning fees on valuation opinions, providing predetermined values, and demoting or terminating appraisers; allows appraisal management companies to request additional information, correct factual errors, and consider verifiable information.

• Expands the Real Estate Appraisers Board from eight to nine members beginning October 1, 2011, to include one representative of an appraisal management company selected from candidates submitted by the Real Estate Valuation Advocacy Association.