Atlanta Area Chapter Newsletter

Congratulations Peter Luxemburger, SRA! Peter (right) received the SRA Designation at the January 25, 2024, Chapter Meeting, presented by Chapter President, Mike Hunter, MAI (left).

Congratulations Tim Kim, MAI! Tim (right) received the MAI Designation at the January 25, 2024, Chapter Meeting, presented by Chapter President, Mike Hunter, MAI (left).

Meet Our New AI-GRS Designated Member!

Atlanta Area Chapter AI Spring Social at

Fairway Social Alpharetta Was a Success!

The Atlanta Area Chapter extends their gratitude to all our sponsors for their generous support and funding of the Spring Social at Fairway Social in Alpharetta on March 28, 2024. Your contribution played a pivotal role in making the event a resounding success. The outstanding turnout and the vibrant atmosphere filled with fun and networking are a testament to the positive impact of your sponsorship. Thank you for being an essential part of creating a memorable and enjoyable experience for all attendees.

USPAP 2024

The 1^st Update with No End Date

By Jeff Miller, MAI, AI-GRS, USPAP Instructor, March 27, 2024

The new version of USPAP that became effective as of January 1, 2024 does not have an end date. It may last forever…probably not, but my guess is more than two years. USPAP has traditionally been issued every two years and identified by its’ effective years (e.g. USPAP 2016-2017). With the current version, there is not a predetermined end date. I will no longer hear students ask the frequent question in USPAP Update classes of “Why are new versions of USPAP required when so little has changed?”. However, quite a few areas have changed in the current version.

The original USPAP in 1986 was four pages, including a title page with signatures. USPAP is now presented as 2024 USPAP and 2024 Guidance Reference Manual (which includes Advisory Opinions, Frequently Asked Questions, and Reference Index), which can be purchased separately or bundled, in both digital and hard copy versions. In my opinion, everyone should buy the digital. If you want to supplement with the hard copy, I get it, but do not skip on the digital. The digital version provides comprehensive searching abilities, in a matter of seconds. Topics in question can be searched across all the material using “Find”, and it allows you to copy portions of the text when needed. Being able to copy or screenshot portions of the text vs. typing is worth the price alone. Classroom races during in-person USPAP classes show that USPAP thumpers can locate topics just as fast as digital users, but digital wins for the ability to skip to additional references and sharing.

One of the mantras I repeat when I teach is that USPAP is the basic blocking and tackling of appraising. As stated in the Preamble to USPAP, “An appraiser must act competently and in a manner that is independent, impartial, and objective” (PREAMBLE Line 40). (Please note all quotes from USPAP were copied from the digital version). Following USPAP is relatively easy when operating within these expectations. If an appraiser struggles with USPAP requirements, they should consider whether they are correctly presenting themselves to the public as an appraiser. There are other roles appraisers can serve with transparency and proper notice.

About half of the USPAP 2024 Update course is focused on the new Nondiscrimination section that has been added to the ETHICS RULE, and the supporting Advisory Opinions 39 and 40. While it is a new section, the topic is not new and has been addressed in USPAP in several areas in the past, most notably Advisory Opinion 16. With the new changes to USPAP, there is increased awareness and responsibility to avoid discrimination in appraisal development and reporting. There are new words and concepts such as “pretext” and “disparate” that we must familiarize ourselves, and “code words” that must be avoided. Miriam Websters defines pretext as: “a purpose or motive alleged or an appearance assumed in order to cloak the real intention or state of affairs” and disparate as “1.: markedly distinct in quality or character. 2.: containing or made up of fundamentally different and often incongruous elements.” Examples of Code Words include “crime” and “shared values”. As stated in USPAP Advisory Opinion 40, Line 124, “Whether a code word indicates discrimination depends on the context in which it is used.”

The Nondiscrimination section states appraisers “must not violate existing federal, state or local antidiscrimination laws or regulations”, and whether or not antidiscrimination laws or regulation applies, “An appraiser must not develop and/or report an opinion of value that, in whole or in part, is based on the actual or perceived race, ethnicity, color, religion, national origin, sex, sexual orientation, gender, gender identity, gender expression, marital status, familial status, age, receipt of public assistance income, or disability of any person(s)” (USPAP Ethics Rule Line 217).

An appraiser may know they are not discriminating, but the rest of world needs to understand they are not discriminating through the appraiser’s words, descriptions, and actions. Real estate appraisals influence buying, selling, wealth, and loss of wealth (foreclosures). People can become emotionally charged and angry when values are not consistent with their plans. Appraisers need to use language and actions that show they are above reproach. Whether a disappointed intended user pursues litigation may have more to do with perceptions and presentation than correct methodology and values. Appraisers may need to explain adjustments more, or support their decisions with extra data.

So, the standard answer to most USPAP questions will continue…it depends. It depends on context, it depends on intended use, and it depends on scope of work. USPAP updates provide a perfect opportunity to review new information and become more knowledgeable in areas that remain unchanged. Appraisers, reviewers, and intended users with USPAP related questions can email jmiller@valbridge.com, or text/call at 404.354.2331. I appreciate questions and use them as a guide to emphasize topics when teaching.

General Demonstration Report - Capstone Program 2024

Complete your Demonstration of Knowledge requirement today!

The General Demonstration Report—Capstone Program is an additional option Candidates for Designation may choose to complete their demonstration of knowledge requirement for their MAI designation. Like the traditional demonstration appraisal report option, the same skills and knowledge base are required to produce a complete demonstration appraisal report. However, this program was designed to offer an option that accelerates the completion of the report. Instead of selecting and compiling data on a property, you are provided with a subject property and data to analyze and then write the report in a limited time span of approximately two months. You must attend two webinars. The first webinar is typically scheduled three weeks after the release of materials. There will be a five-and-a-half day on-site session (attendance is optional), where facilitators will be on hand to answer questions and offer guidance. On day seven at noon, the full report must be submitted for grading. No exceptions.

The program is designed to be completed in approximately two months; therefore, you will need to commit a considerable amount of that time on analysis and writing tasks PRIOR to the classroom setting. There is one optional pre-class writing assignment due before the second webinar. It is important to understand you’ll need to spend a minimum of 175 to 250 hours to successfully complete this program. And during the five-and-a-half day on-site session, expect to work on your reports after the 7-hour days spent on-site with the facilitators. Ten to 12 hours a day that week will not be unusual. CLICK HERE for more information.

Member Spotlight

Dori D'Esposito, MAI



Employment

Appraisal and Valuation Services Office – East Region, Office of the Secretary – U.S. Department of the Interior.

Duration in the profession

20 years as a commercial fee appraiser and a little more than 2 years as a review appraiser.

Hometown/Currently live

I grew up in Smithtown, NY, and currently live in Marietta, GA.

Family Members

I have two children – Benjamin and Madeline, both studying at UGA.

Hobbies

I spend my free time with family and friends, hiking, and attending music and art shows.

What is your primary line of appraisal work?

Appraisal review. The projects I work on typically include acquisitions, land exchanges, right-of-way permits, and telecom sites.

What are the biggest issues facing the appraisal profession?

Public perception and the challenges of entering the profession.

What do you see as the biggest strengths of the Appraisal Institute?

Body of knowledge, designations, and name recognition.

In Memory

William Bates McMath, Jr., MAI

The family of William Bates McMath, Jr. is saddened to announce his passing on December 9th , 2023, after a long battle with pancreatic cancer. Bill was born on June 12, 1949, in Americus, Georgia, to the late Dr. and Mrs. William Bates McMath, Sr. He grew up in Americus where he became an Eagle Scout and graduated from Americus High School. After attending Georgia Southwestern College for a year, he moved on to Athens and the University of Georgia, where he became an avid Bulldog fan and met Patsy Ann Gunter of Elberton, Georgia. Patsy and Bill married on April 28, 1973, and celebrated their 50th anniversary this past spring. Patsy and Bill were blessed with three daughters, the loves of his life. Bill started his career appraising real estate with Albany First Federal Savings and Loan in 1974. Having earned his MAI designation, Bill became the owner of McMath Valuation Company in Albany, appraising commercial properties, farms and land for various individuals, businesses and banks throughout southwest Georgia. Bill was a member of the Dougherty County Kiwanis Club and a member of Porterfield Methodist Church in Albany. Bill was a devoted husband, father, and friend, well-known for his love of his family, spending time with his grandchildren every chance he had. Memories of Georgia football, the cabin and fishing on Lake Blackshear (the “Rivah”) and the Muckalee Creek, along with visiting Mexico Beach are prevalent with his family and friends alike. Bill was preceded in death by his parents, William Bates McMath, Sr. and Henryetta Glover McMath, as well as his daughter, Karyn McMath Bacon. Bill is survived by his wife, Patsy Gunter McMath, daughters Amy McMath Calley of Atlanta, Georgia, and Ginger McMath Miller (Brian)of Leesburg, Georgia; brother-in-law Tom Gunter (Kathy) of Marietta, Georgia; grandchildren Anna Kate Miller, Carson Miller, Bates Bacon, and Jane Bacon. He is also survived by nieces Wendy Wolfe and Brandin (Jim) Cheeley of Marietta, Georgia, and nephew Thomas Gunter (Kelly) of Marietta, Georgia, as well as numerous great-nieces and great-nephews, cousins, and childhood best friends. In lieu of flowers, memorials may be made in Bill McMath’s name to Porterfield Methodist Church, 2200 Dawson Rd., Albany, GA 31707, or Cancer Ties, Inc., P.O. Box 71812, Albany, GA 31708, as well as www.cancerties.com. Family Placed Obituary Here

Practical Applications of Real Estate Appraisal Mentor Program

Create the future of residential appraising! Become a mentor to participants enrolled in the Appraisal Institute Practical Applications of Real Estate Appraisal (AI PAREA) on a contract basis.

Providing an alternative to the traditional supervisor and trainee model for experience for licensed residential and certified residential appraisers, AI PAREA is an online program covering appraisal theory and methodology in real-world simulations, with mentoring from expert appraisers like you!

Mentors benefit from the AI PAREA program, too. Mentors gain a multitude of personal development benefits including:

• Advancing the profession and paying it forward through this legacy program.
• Exposure to new and different perspectives.
• Leadership skills.
• Communication and feedback skills.
• Network growth.
• Increased self-awareness.

Be a part of this exciting new initiative! Learn More Here