CHICAGO, July 31, 2014 /PRNewswire-USNewswire/ The number of active real estate appraisers in the United States fell less than 1 percent in the first half of 2014, the Appraisal Institute announced today, lower than the average annual decrease of 2.6 percent over the past six years.
Research conducted by the nation’s largest professional association of real estate appraisers found that as of June 30, the total number of active real estate appraisers in the U.S. stood at 80,500, down from 81,050 on Dec. 31, 2013. A broader analysis suggests the rate of decrease could rise sharply over the next five to 10 years due to retirements, reduced numbers of new people entering the appraisal profession, economic factors and greater use of data analysis technologies, Appraisal Institute research found.
“As appraisers leave the profession, the Appraisal Institute is preparing the next generation through its education, publications and other training,” said Appraisal Institute President Ken P. Wilson, MAI, SRA. “As the real estate valuation profession’s leader, we will continue to ensure that we are preparing tomorrow’s appraisers today.”
The Appraisal Institute’s research also found that the proportion of licensed appraisers in the U.S. continues to decrease and stands at 11.3 percent as of June 30. The proportions of certified residential appraisers (56.7 percent) and general/commercial appraisers (32 percent) increased slightly from year-end 2013. Also, 18.5 percent of appraisers held a license or certification in one or more states outside their home state. That number increased slightly from 18.2 percent in 2013 and 17.2 percent in 2012.
Appraisal Institute surveys also found:
- Two-thirds (66 percent) of appraisers have spent at least 15 years in the valuation profession.
- Thirty-nine percent work as sole proprietors (no employees/partners), and another 22 percent are an owner or partner in a firm.
- Forty-one percent work as commercial appraisers, while 31 percent are residential appraisers.
- Seventy-five percent work for an appraisal services firm.
- More than half (51 percent) are ages 51 to 65, and another 11 percent are 66 or older.
- Fifty-eight percent hold a bachelor’s degree, and another 20 percent hold a master’s or doctoral degree.
- Forty-seven percent of Appraisal Institute professionals earn more than $100,000 per year, compared to 22 percent of non-AI professionals.
U.S. appraiser population statistics were derived from the Appraisal Subcommittee National Registry as of June 30, 2014. Demographic statistics were derived from Appraisal Institute studies conducted in 2014 of 1,451 randomly selected AI professionals and non-AI individuals. The survey had a margin of error of +/- 2.6 percentage points.
The Appraisal Institute is a global professional association of real estate appraisers, with nearly 22,000 professionals in almost 60 countries throughout the world. Its mission is to advance professionalism and ethics, global standards, methodologies, and practices through the professional development of property economics worldwide. Organized in 1932, the Appraisal Institute advocates equal opportunity and nondiscrimination in the appraisal profession and conducts its activities in accordance with applicable federal, state and local laws. Individuals of the Appraisal Institute benefit from an array of professional education and advocacy programs, and may hold the prestigious MAI, SRPA, SRA, AI-GRS and AI-RRS designations. Learn more at www.appraisalinstitute.org.