Every appraiser dreads opening their mail to find that an appraisal board complaint has been filed against them. Yet, it happens more often than you might think. Appraisal board complaints often arise when the receiving party doesn’t like the outcome of the report. Allegations may include bias, failure to disclose a material fact affecting price, or inappropriate use of comparable properties. Whatever the nature of the complaint, it’s critical to handle it professionally and efficiently.
This is not the time to put your head in the sand. Disciplinary actions can affect your license, your livelihood, and even your ability to work in other states. Instead, follow these five actionable tips to address the matter head-on and resolve it as quickly as possible.
Tip 1: Understand the Nature of the Complaint
The first step is understanding the allegations against you. Thoroughly review the complaint, breaking it down line by line to identify the key issues being raised. Take detailed notes as you go. Compare the claims to your work file to understand why the complaint might have been filed. Your work file should provide the evidence needed to explain the decisions you made.
Mark all important deadlines on your calendar and familiarize yourself with your state appraisal board’s specific requirements. Missing deadlines can escalate the situation significantly, so request an extension early if additional time is needed.
Consider engaging an attorney or an appraisal consultant early in the process. While an attorney focuses on legal aspects and compliance, an appraisal consultant can provide industry-specific expertise and help frame your response in technical terms. Both professionals can help you prepare your defense and protect your license.
Tip 2: Engage Professional Assistance
Disciplinary action is serious business—it can impact your ability to renew your license or practice in other states. Depending on the nature of the complaint, you may benefit from engaging an attorney or an appraisal consultant.
- An attorney: If the complaint involves potential legal consequences, procedural complexities, or settlement negotiations, an attorney is essential. They will guide you through the process, ensure your rights are protected, and help craft a professional response.
For more tips on working with an attorney when a complaint has been filed against you, tune into McKissock’s Beyond the Numbers podcast, where Julie, your podcast host, talks with Apollo Carey, an appraiser turned attorney, about what to do if the state board comes knocking.
- An appraisal consultant: For complaints rooted in technical appraisal issues, such as methodology or allegations of bias, an appraisal consultant can provide valuable expertise. They can help you analyze the complaint, review your work file, and articulate your process in a way that meets industry standards.
Check with your Errors & Omissions (E&O) insurance provider to see if either legal counsel or appraisal consulting is covered, or if your provider offers a referral network. Engaging the right professional early can help you avoid missteps, address the board’s concerns effectively, and build a strong defense.
Tip 3: Gather Evidence and Documentation
Your work file is your best defense. Review your work file meticulously, ensuring that it includes all supporting documents, data, and communications relevant to the appraisal. Your work file should clearly demonstrate how you arrived at your conclusions and show compliance with industry standards.
If working with an attorney or an appraisal consultant, collaborate to identify the most relevant evidence and organize it logically. This ensures the appraisal board can easily follow your process and understand the rationale behind your decisions. When assembling your case, focus on clarity and transparency—this is not the time to create confusion.
Before submitting your response, have your professional team review everything to ensure it’s comprehensive and effectively supports your position.
Tip 4: Communicate Clearly and Proactively
The appraisal board acts much like a judge in a courtroom. They are impartial and not out to target you, but they are responsible for investigating complaints and enforcing disciplinary actions when necessary. Your communication with the board should always be timely, professional, and respectful.
Rely on your attorney or appraisal consultant to review all written communications before submitting them to the board. This ensures your responses are clear, factual, and aligned with professional standards. Be transparent and cooperative throughout the process and address all board inquiries promptly.
When appropriate, offer solutions or remedies to show your willingness to resolve the issue. Clear, proactive communication, supported by your chosen professional, demonstrates professionalism and can help expedite the resolution process.
Tip 5: Learn from the Experience
Regardless of the outcome, every disciplinary action offers an opportunity to improve. Take time to reflect on the complaint and identify areas where you can strengthen your practice, whether through enhanced documentation, improved processes, or continued education.
Allegations of bias, for instance, require particular attention. Your work file should demonstrate objectivity and consistency across all appraisals. An appraisal consultant can review your methods and suggest ways to ensure transparency, particularly in cases where bias is alleged.
It’s also important to recognize that media narratives about appraisal bias can amplify scrutiny of your work. Acknowledging these concerns while demonstrating your adherence to professional standards can help counter misconceptions and protect your reputation.
Whether working with an attorney or an appraisal consultant, take steps to address potential long-term impacts, such as increased E&O insurance rates. Continuing education and proactive adjustments to your methods are key to maintaining credibility and professionalism in the industry.
Final Thoughts on Appraisal Board Complaints
Whether you engage an attorney, an appraisal consultant, or both, assembling the right team of professionals is critical to navigating an appraisal board complaint. By understanding the complaint, gathering evidence, and communicating clearly, you can handle the process confidently and protect your career.
One of the best ways to avoid disciplinary action altogether is to stay proactive with your continuing education. McKissock Learning has two paths for appraisers: McKissock Unlimited Learning CE Membership and McKissock Continuing Education and License Renewal. With our new Student Dashboard 2.0 it’s easier than ever to create your custom learning path and track your CE credits.
