(**) Disclosure: This post may contain affiliate links, meaning our company, JCHQ Publishing will get a commission if you decide to make a purchase through the links, but at no additional cost to you.
To become a real estate appraiser in Colorado, an applicant must complete the required appraisal courses from an approved education provider. Accumulate appraisal work hours, pass the appraiser license examination, and register with the Colorado Department of Regulatory Agencies, Division of Real Estate.
The role of this division is to establish the industry standard, regulate and issue the license for real estate appraisers.
As a real estate appraiser in Colorado, you could be appraising properties for a home buyer/seller, for a mortgage lender who wants to know the value of their loan portfolio, for tax assessment purposes or even negotiation of a lease.
Regardless of who is in needs of your appraisal services, your primary focus is to come up with an objective opinion about the market value of properties.
There are 4 license levels of appraisers in Colorado:
- Ad Valorem Appraiser
- Licensed Residential Appraiser
- Certified Residential Appraiser
- Certified General Appraiser
If you’re wondering what a real estate appraiser does and if it might be a good career for you, keep reading. I’ll explain all the steps to obtain a real estate appraiser license. Plus everything you need to know about this profession (i.e. pre-licensing course, exam format, income updates). So whether you’re just starting out in your career or you’re looking for a new challenge, read on!
But before we start, I want to give a brief disclaimer. This post is not intended as legal advice or state/federal real estate appraisal training. It is for general information only. Always follow your State Laws and best practices.
The first step to your appraisal career is to complete the pre-licensing courses from a trusted education provider. McKissock received an incredible rating from its students, and their online lessons are taught by instructors who have actual experience in the appraisal industry. You may click here to find out more about their courses. (**)
Table of Contents
- How to Become a Licensed Ad Valorem Appraiser in Colorado?
- How to Become a Licensed Residential Appraiser in Colorado?
- How to Become a Certified Residential Appraiser in Colorado?
- How to Become a Certified General Appraiser in Colorado?
- Check out the Colorado appraisal courses requirement
- Here’s how you register with the Colorado Department of Regulatory Agencies
- More info on the Colorado Appraiser Exam
- FAQ on the Colorado Real Estate Appraiser Career
- Career Tips for Aspiring Appraisers in Colorado
- Here are more incredible resources to learn about the Colorado real estate appraisal career!
How to Become a Licensed Ad Valorem Appraiser in Colorado?
So far, we haven’t seen this license title in any other states. So I contacted the Division of Real Estate for more details. Their licensing specialist confirmed that this license can only be used by County Assessor employees in official assessment capacity and cannot be used for fee appraisals.
Although Ad Valoerm Appraisers do not always work under the supervision of a certified appraiser, but it is common. However, they do not have any regulations regarding supervision or trainees.
To become a Ad Valoerm Appraiser in Colorado, an applicant must complete the 110-hour appraisal education, pass the Ad Valoerm Appraiser Exam, and register with the Colorado Department of Regulatory Agencies, Division of Real Estate.
To give you an idea of what is like to be Ad Valorem Appraiser, here are some details of a job posting we have seen. These were job openings from a County Assessor’s Office, where they were looking to hire Residential Appraisers.
Although the job did not require the applicant to have an appraiser license at the time of hire, they must obtain the Ad Valorem Appraiser credential within two years.
Appraisers would be working in a team environment to gather, collect, analyze data for the appraisal of real estate. The properties could include single family homes, condominiums, apartments, duplexes, mobile homes, and vacant land.
These were full-time positions with benefits. One thing we like about this job was the stable working hours Monday through Friday, from 8:00 am to 4:30 pm.
Their offered salary range was $3,779 to $5,442 per month.
Here’s more info to become a Licensed Ad Valorem Appraiser in Colorado.
Step 1: Meet the Basic Requirement:
- You must be at least 18 years old
- Have a valid Social Security Number
- No prior related experience is needed
Step 2: Complete the Pre-License Education
You need to complete 110 hours of qualifying appraisal-related education. This will equip you with a good foundation of real estate appraisal knowledge.
Study tip: Whenever possible, I prefer to take online courses. You can study at your own pace at the convenient of your home, library, or wherever there is internet access. Here’s an article review of an online school that I like.
Step 3: Submit Application to the Colorado Department of Regulatory Agencies, Division of Real Estate.
Now you have completed the qualifying education requirement, your next step is to begin the registration process.
If the Licensing Department in your state has the online submission available, then it’s better to use that option. Not only this is the quickest and most convenient way, but less paper mailing is also good for the environment.
Step 4: Pass the Ad Valorem Appraiser Examination
Although many states do not require a Trainee Appraiser to pass an examination, it does for Ad Valorem Appraiser in Colorado. The purpose is to test your appraisal knowledge, especially the subjects that are covered in the pre-licensing courses.
Is being a real estate appraiser a good career? – Let’s hear from an industry professional
“Currently, I am a Principal Commercial Appraiser with the Hennepin County Assessor’s office. My primary responsibilities are to value real property for tax petition purposes and provide expert witness testimony.
Prior to joining the public service sector, I was an independent fee appraiser who owned a residential appraisal firm and was a partner in a commercial appraisal firm. I have been a real estate appraiser for 26 years.
The appraisal industry has amazing opportunities in both the public and private sectors. The appraisal industry is especially well suited for entrepreneurs who wish to operate their own businesses.
Brett Hall, MAI, SRA, Principal Commercial Appraiser at Hennepin County
Is real estate appraiser a good career? This is one of the common questions I hear a lot. Therefore, I spent months and months in connecting with different real estate appraisers. Here are their valuable insights about this profession. Make sure to check it out!
How to Become a Licensed Residential Appraiser in Colorado?
To become a Licensed Residential Appraiser in Colorado, an applicant must complete the 150-hour appraisal education, obtain a minimum of 1000 work hours, pass the LR appraiser license examination, and register with Colorado Department of Regulatory Agencies, Division of Real Estate.
As a Licensed Residential Appraiser, you are authorized to appraise non-complex residential properties with 1-4 units, while the transaction value is to be less than $1,000,000. Although you can also evaluate complex properties, the value cannot be over $250,000.
You could working as a fee-based appraiser, providing services to clients such as individuals, lenders, banks, or appraisal management companies (AMC). Your daily tasks could include doing research online, going on the field to inspect properties, and writing the appraisal reports.
Being a self-employed professional could give you more flexibility in scheduling your work hours and ways to conduct the business. However, just like any other business, there are expenses and setup you’ll need to take care. Here’s a post on how to start an appraisal business.
Alternatively, you could be recruited by an appraiser firm, financial institution or government agency to become their in-house appraiser, where you could enjoy the stable salary and company’s benefits.
This license could be a good alternative for those who have not fulfilled the necessary work experience or college-level education to become a certified appraiser but wish to advance their career from the Ad Valorem Appraiser phase.
Step 1: Meet the Basic Requirement
- You must be at least 18 years old
- Have a valid Social Security Number
- No college-level education is required
Step 2: Complete the Required Hours of Working Experience
You must have at least 1000 hours of acceptable appraisal experience, where they need to be acquired for over a 6 months period.
Step 3: Fulfill the Education Requirement
You’ll need to complete 150 hours of qualifying appraisal education from an approved course provider. Since you should have completed some of the courses when becoming a Ad Valoerm Appraiser, you just need to complete the additional courses.
Study tip: Whenever possible, I prefer to take online courses. You can study at your own pace at the convenient of your home, library, or wherever there is internet access. Here’s an article review of an online school that I like.
Step 4: Submit Application to the Colorado Department of Regulatory Agencies, Division of Real Estate
Once you have fulfilled the education and working experience requirement, you should submit the application to the the Division of Real Estate along with other required documents.
The Regulatory Division in some states may require you to apply within a specific period after you complete the pre-licensing education. Therefore, don’t wait till it expires!
Step 5: Pass the Licensed Residential Appraiser Exam
Now it’s the time to write the exam! To increase your chance in passing the appraisal exam, you should consider doing multiple sets of exam preps. It is an effective way to prepare for it and also boost your confidence.
How to Become a Certified Residential Appraiser in Colorado?
To become a Certified Residential Appraiser in Colorado, an applicant must complete the 200-hour appraisal education, obtain a minimum of 1,500 work hours, pass the Certified Residential Appraiser license examination, and register with the Colorado Department of Regulatory Agencies, Division of Real Estate. Candidate must also complete one of the six college-level education requirements.
As a Certified Residential Appraiser, you can appraise:
- residential properties with 1 to 4 residential units regardless of the transaction value or complexity.
- non-residential 1-4 units property given that the transaction value is no more than $250,000
Similar to a Licensed Residential Appraiser, you could a self-employed business owner running your own appraisal practice, servicing clients such as individuals, lenders, banks, or appraisal management companies (AMC).
Alternatively, you could work for an appraiser firm or financial institution to become their in-house appraiser, where you could enjoy the stable income and company’s benefits.
Unlike a Licensed Residential Appraiser, there is no limitation on the transaction value of residential properties you could evaluate. The scope of your practice and business opportunity would be a lot wider. In fact, many reputable lenders and financial institutions in Colorado only hire or work with appraisers that have the certified credential.
Let’s go through the steps to obtain the Certified Residential Appraiser license:
Step 1: Meet the Basic Requirement:
- You must be at least 18 years old
- Have a valid Social Security Number
- Complete 1 of the following 6 College-Level Options
- Option#1: Hold an associate’s degree in either Accounting, Business Administration, Economics, Finance, or Real Estate; OR
- Option #2: Hold a bachelor’s degree in any field of study
- Option #3: Complete 3 hours of each of the following college-level courses with a total of 30 semester hours
- Algebra, Geometry, or Higher Math
- Computer Science
- English Composition
- Finance
- Macroeconomics
- Microeconomics
- Real Estate Law or Business Law
- Statistics
- 2 elective courses (3 hours each) in any of the above subjects or in Accounting, Agricultural Economics, Business Management, Geography, or Real Estate;
- Option #4: Complete 30 hours of College Level Examination Program® (CLEP®) examinations that cover each of the subjects in Option #3
- Option #5: Any combinations of Option #3 and Option #4 which consists all the topics mentioned above
- Option #6: If you have been a Licensed Residential Appraiser for 5 years or more, while your license is in good standing, then the college-level requirements can be waived.
Step 2: Complete the Required Hours of Working Experience
You need to complete a minimum of 1500 hours of acceptable appraisal experience in not less than a 12 months period.
Step 3: Fulfill the Education Requirement
You’ll need to complete 200 hours of qualifying appraisal education from an approved course provider.
Since you should have completed some of the courses when becoming a Ad Valorem Appraiser or Licensed Residential Appraiser, you are only required to complete the extra classes.
Step 4: Submit Application to the Colorado Department of Regulatory Agencies, Division of Real Estate
Once you have fulfilled the education and working experience requirement, you should submit the application to the Appraisal Board along with other required documents.
Most Licensing Boards allow you to submit the application through their website. Some would even charge a lower registration fee. Therefore, you should definitely check out this option.
Step 5: Pass the Certified Residential Appraiser Exam
Cramming for the exam is ineffective. Concentration tends to wander if you study for too long. Instead, you should study for 45 to 60 minutes, then take a break.
If possible, focus on studying only one to two topics per day. But be really good at it.
How to Become a Certified General Appraiser in Colorado?
Being a Certified General Appraiser is the highest license level you could get in the appraisal industry. You could assess all kinds of real properties regardless of the transaction value or complexity. There is no limitation on the scope of your appraisal work.
To become a Certified General Appraiser in Colorado, an applicant must complete the 300-hour appraisal education, obtain a minimum of 3,000 work hours, pass the Certified General Appraiser license examination, and register with the Colorado Department of Regulatory Agencies, Division of Real Estate. Candidate must also holds a Bachelor’s Degree.
Although you still could evaluate for family-typed of clients, you could also be assess a portfolio of commercial real estates for institutional investors.
Since your clients depend on your appraisal reports in making an informed investment decision, you must be extremely careful and responsible when handling your work. Your primary goal is to perform detailed research and provide your clients with an objective appraised value.
Due to the high expectation of low margin of error in your work products, the amount of work experience and education required to become a Certified General Appraiser is the greatest among all the levels of licensing.
So having said that, what type of jobs are available for a Certified General Appraisal in Colorado?
At the time I wrote this post, there were a number of job openings from the government in the different county.
One of the job postings was from Aurora, where the County was looking for a Certified General Appraiser to work in the Commercial Division of the Assessor’s Office.
Some of the job duties include collecting and analyzing data relating to commercial, residential, multi-family, and vacant land appraisals. Then the candidate would need to value the assigned property classes for assessment purposes.
In some occasions, the appraiser would also be required to prepare and present the appraisals at BAA as an expert witness. The hiring annual salary range was around $50,000 to $70,000. But this would be subjected to individual experience.
The appraiser would also need to have considerable knowledge of assessment laws, regulations, construction, materials, building design, cost and depreciation, land values, usages, and zoning.
Of course, they would require an applicant to hold the Certified General Appraiser designation, so let’s go through the steps to get you that credential.
Step 1: Meet the Basic Requirement:
- You must be at least 18 years old
- Have a valid Social Security Number
- Bachelor’s Degree in any field of study; or higher
Step 2: Complete the Required Hours of Working Experience
You must have at least 3000 hours of acceptable appraisal experience where they need to be obtained for over a 18 months period. Half of the experience hours must be from non-residential appraisal work.
Step 3: Fulfill the Education Requirement
You’ll need to complete 300 hours of qualifying appraisal education from an approved course provider.
Since you should have completed some of the courses when the previous license(s), you are only required to complete the extra classes.
Step 4: Submit Application to the Colorado Department of Regulatory Agencies, Division of Real Estate
Once you have fulfilled the education and working experience requirement, you should submit the application to the Division of Real Estate.
Later in this post, I’ll go over the documents and fees needed for the registration process.
Step 5: Pass the Certified General Appraiser Exam
The final step is to pass the Certified Residential Appraiser Exam.
Most test centers would require you to bring at least two valid IDs to verify your identity. Don’t forget to bring them along. Else you won’t be able to write the exam.
Check out the Colorado appraisal courses requirement
| Trainee Appraiser (Credit Hours) | Licensed Residential Appraiser (Credit Hours) | Certified Residential Appraiser (Credit Hours) | Certified General Appraiser (Credit Hours) |
|
|---|---|---|---|---|
| National USPAP Course or Equivalent | 15 | 15 | 15 | 15 |
| Basic Appraisal Principles | 30 | 30 | 30 | 30 |
| Basic Appraisal Procedures | 30 | 30 | 30 | 30 |
| Introduction to Mass Appraisal | 35 | |||
| Residential Market Analysis and Highest & Best Use | 15 | 15 | ||
| Residential Appraisal Site Valuation and Cost Approach | 15 | 15 | ||
| Residential Sales Comparison and Income Approaches | 30 | 30 | ||
| Residential Report Writing and Case Studies | 15 | 15 | ||
| Statistics, Modeling and Finance | 15 | 15 | ||
| Advanced Residential Applications and Case Studies | 15 | |||
| Appraisal Subject Matter Electives | 20 | 30 | ||
| General Appraiser Market Analysis and Highest & Best Use | 30 | |||
| General Appraiser Site Valuation and Cost Approach | 30 | |||
| General Appraiser Sales Comparison Approach | 30 | |||
| General Appraiser Report Writing and Case Studies | 30 | |||
| General Appraiser Income Approach | 60 | |||
| Total | 110 hours | 150 hours | 200 hours | 300 hours |
Here’s how you register with the Colorado Department of Regulatory Agencies
Prior to submitting your application, you need to submit fingerprints to the Colorado Bureau of Investigations (CBI) for a background check.
Once you have fulfilled all the necessary requirement, you could submit your application to Colorado Board of Real Estate Appraisers. Here’s the their online license application.
In additional to the form, you must provide the following:
- Registration fee ($276 for Ad-Valorem Appraiser; $460 for other Licensed/Certified Appraiser)
- Supporting legal documents
- Evidence which shows you have completed the required hours of Board-approved appraisal courses. (i.e., Official transcripts, course completion certificates).
- Proof that you have fulfilled the specific requirement of post-secondary education for your license (i.e.: Diploma, official transcripts, certificates.)
- Stated Approved Appraiser Experience Log (Only if you are applying to become Licensed/Certified Appraiser)
If you have any questions, you could also contact the Colorado Department of Regulatory Agencies Division of Real Estate. Their phone number is 303-894-2166, and email is dora_realestate_website@state.co.us.
Furthermore, you are required to obtain an E&O insurance coverage, where you must provide the certificate of coverage to the Colorado Division of Real Estate. They have contracted with Rice Insurance Services, LLC to administer the group E&O insurance program for Colorado appraisers.
The one year premium starts at $308. You could contact Rice Insurance Services, LLC at 1-800-637-7319 for more details.
More info on the Colorado Appraiser Exam
Upon acceptance, they will email you an approval notice with instruction to schedule the exam. PSI will administer the exam.
- Ad Valorem Appraiser is a 3 hours exam;
- Licensed Residential Appraiser Exam is a 4 hours exam,
- Certified Residential Appraiser Exam is a 4 hours exam;
- Certified General Appraiser Exam is a 6 hours exam
There is a $44.95 of fee and you can take the exam on a computer.
The licensed and certified exams consist of 125 questions. Only 110 questions will be scored, the other 15 are pretest questions. Once you pass the exam, you can submit the result to the Division of Real Estate, then they will issue you with the license.
(Read: “10 practical tips to pass the real estate appraiser exam”)
FAQ on the Colorado Real Estate Appraiser Career
How much does it cost to become a real estate appraiser in Colorado?
It costs between $1,600 to $2,300 to become a real estate appraiser in Colorado, Here’s the breakdown:
- Pre-licensing education: $1,600 to $2,300
- Fees: ($276 for Ad-Valorem Appraiser; $460 for other Licensed/Certified Appraiser)
- Exam fee: $44.95
In addition to the above, there will be other expenses such as continuing education courses, E&O insurance, and business supplies such as a laptop, cell phone, and measuring device.
Some companies may pay or reimburse you if you work as their employee. But if you are running your own practice, these are the cost you need to account for yourself.
How long does it take to become a real estate appraiser in Colorado?
It takes 6 to 18 months to become a real estate appraiser in Colorado. That is the minimum period to complete the work experience so the duration would hugely depend on which appraiser license you are pursuing, the time it takes you to complete the work experience, pre-licensing courses and pass the appraiser exam.
It takes 1,000 hours of work experience to become a Licensed Residential Appraiser in Colorado, 1,500 hours to become a Certified Residential Appraiser, and 3,000 hours to become a Certified General Appraiser.
Do you need a degree to be an appraiser in Colorado?
You need a Bachelor’s Degree to be a Certified General Appraiser in Colorado and complete one of the six college-level education to be a Certified Residential Appraiser. As for becoming a Licensed Residential Appraiser, there is no college-level education requirement.
How much do real estate appraisers make in Colorado?
How much you can earn as a real estate appraiser depends on many factors. To name a few, your licensing level, the type of properties you specialize in evaluating, your experience, the company size, its location, and most importantly, the amount of hard work you are willing to put into this career. Therefore, the income differential among real estate appraisers in Colorado could vary significantly.
According to the Bureau of Labor Statistics, property appraisers and assessor in Colorado make an average yearly income of $67,580. The income range typically ranges between $49,020 and $85,230. Top earning Colorado appraisers make over $101,830.
The average cost of a home appraisal is $340 – $495 in Colorado. However, the cost may vary depending on the complexity of the property, the time and skills it takes to complete the assignment. Commercial property appraisals could cost between $2,000 to $10,000.
Here’s a complete income guide on real estate appraisers in Colorado. In there, I will uncover the income updates, the percentage of appraisers that are making a good living, and whether being a commercial or residential appraisers has any effect on the income. So be sure to check it out!
How to renew the Colorado appraiser license?
All real estate appraisers in Colorado need to renew their license every year.
Below are the requirements to renew your appraiser license:
- Finish 28 hours continuing education every 24 months, of which must include 7 hours of National USPAP Update course.
- All these continuing education classes can be taken online, you you must complete them.
- Pay the renewal fee. ($123 for Ad-Valorem Appraiser and $207 for other Licensed/Certified Appraiser).
To avoid interruption to your appraisal practice, you should renew it and complete all continuing education requirement before the license expiry date.
Career tip: Since you’ll need to take the CE courses, don’t waste your money by taking random classes. Choose the one that could really sharpen your appraisal skills, where you could apply what you learn into the field. Here is an article review of the 10 CE courses that I like.
Is there a demand for real estate appraisers in Colorado?
When I reviewed the figures (as of June 2022) displayed on the Appraisal Subcommittee website, there are a total of 2726 appraisers in Colorado. The breakdown is as follow:
- # of Certified General Appraisers 1066
- # of Certified Residential Appraisers 1359
- # of Licensed Residential Appraisers 301
Colorado has over 5.68 million people, and it’s the second fastest-growing state in the US. With such a massive population, you could imagine there would be lots of activities related to buying and selling of real estate property, foreclosures, divorce, and settling estate.
All these transactions could involve the demand of real estate appraisers in Colorado.
Career Tips for Aspiring Appraisers in Colorado
Tip#1: Take the Appraisal Classes Asap
You could read as much about the appraisal career as you want, but your journey would not begin unless you start taking action.
Taking the real estate appraiser classes would be your first step. Not only you could gain valuable knowledge and practical skills, but you will also have a better understanding about what is like to be an appraiser.
Besides, most states would require you to complete all the trainee education before your working experience could count toward the licensing requirement.
Not sure where to take the licensing courses? Check out the review of the appraisal education provider that I like.
Tip#2: Connect with Other Colorado Real Estate Appraisers
To gain a better insight into the appraisal industry, you should start connecting with other appraisers. You could do so through joining industry associations, forums or even LinkedIn groups. For example,
- Colorado Association of Real Estate Appraiser (CAREA)
- Colorado Chapter of the Appraisal Institute
- Colorado Chapter Appraisal Institute LinkedIn Group
Start with a casual conversation. Let them know that you are planning to start your career as an appraiser, ask them what they like or dislike about the industry.
In addition, you should also connect with other real estate professionals such as mortgage agents, lenders, realtors or home inspectors. Their insight and experience could be very helpful to your career building in the long run.
Tip#3: Specialize in a Specific Appraisal Niche
Just like many other states, the business to appraise for residential properties could be quite competitive. Well, as you could imagine, there is a considerable overlap of targeted customers for the first three levels of licensing.
To differentiate your appraisal services, you should consider specializing in an appraisal niche – for instance, farm appraisals, relocation appraisals, commercial properties appraisals.
[Read: 7 Profitable Niches that Many Appraisers are Missing out.]
Here are more incredible resources to learn about the Colorado real estate appraisal career!
This article is part of the “Colorado Real Estate Appraiser Career Series.” If you want to know more about being a real estate appraiser in California, the following articles would be helpful to you:
- How much do real estate appraisers make in Colorado?
- Is being a real estate appraiser a good career?
- A Complete Review of a Real Estate Appraisal School that Over 400,000 Students Love
If you are reading up to this point, I bet you must be interested in the real estate appraiser profession. Your first step is to complete the pre-licensing courses. You should select one that has an excellent reputation and long-term track record of satisfying students. McKissock is exactly that! You may click here to check it out yourself. (**)
(**) Affiliate Disclosure: Please note that some of the links above are affiliate links, and at no additional cost to you. Our company, JCHQ Publishing will earn a commission if you decide to make a purchase after clicking on the link. Please understand that we include them based on our experience or the research on these companies or products, and we recommend them because they are helpful and useful, not because of the small commissions we make if you decide to buy something through the links. Please do not spend any money on these products unless you feel you need them or that they will help you achieve your goals.
Disclaimer: The information in this post is for general information only, and not intend to provide any advice. They are subjected to change any notice, and not guaranteed to be error-free. For full and exact details, please contact the Colorado Department of Regulatory Agencies, Division of Real Estate.
Reference:
- The Appraisal Foundation- National Uniform Licensing and Certification Examinations
- Appraisal Subcommittee- Active Appraiser Credentials Summary Report
- sokanu.com – How much does a Real Estate Appraiser make in Colorado?
- salary.com- Salary for Appraiser (Commercial Real Estate) in Colorado
- salary.com- Salary for Appraiser (Residential Real Estate) in Colorado
- Colorado Department of Regulatory Agencies ,Division of Real Estate
- Real Estate Appraiser Program (source)
- HomeAdvisor – How Much Does A Home Appraisal Cost? (source)
- Appraisal Subcommittee- Active Appraiser Credentials Summary Report (Source)
