SENATE BILL 205

51st legislature - STATE OF NEW MEXICO - first session, 2013

INTRODUCED BY

Phil A. Griego

AN ACT

RELATING TO PROFESSIONAL LICENSURE; AMENDING A SECTION OF THE REAL ESTATE APPRAISERS ACT TO PROVIDE FOR REAL ESTATE BROKER OPINIONS.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     SECTION 1. Section 61-30-10 NMSA 1978 (being Laws 1990, Chapter 75, Section 10, as amended) is amended to read:

     "61-30-10. REGISTRATION, LICENSE OR CERTIFICATION REQUIRED--EXCEPTIONS.--

          A. It is unlawful for any person in this state to engage or attempt to engage in the business of developing or communicating real estate appraisals or appraisal reports without first registering as an apprentice or obtaining a license or certificate from the board under the provisions of the Real Estate Appraisers Act.

          B. No person, unless certified by the board as a state certified real estate appraiser under a general certification or residential certification, shall:

                (1) assume or use any title, designation or abbreviation likely to create the impression of a state certified real estate appraiser;

                (2) use the term "state certified" to describe or refer to any appraisal or evaluation of real estate prepared by [him] the person;

                (3) assume or use any title, designation or abbreviation likely to create the impression of certification as a state certified real estate appraiser firm, partnership, corporation or group; or

                (4) assume or use any title, designation or abbreviation likely to create the impression of certification under a general certificate or describe or refer to any appraisal or evaluation of nonresidential real estate by the term "state certified" if the preparer's certification is limited to residential real estate.

          C. A state apprentice real estate appraiser who is registered but does not hold a license or certificate is authorized to prepare appraisals of all types of real estate or real property; provided that such appraisals are not described or referred to as being prepared by a "state certified real estate appraiser" holding a residential or general certificate or by a "state licensed real estate appraiser"; and provided, further, that such person does not assume or use any title, designation or abbreviation likely to create the impression of certification as a state certified real estate appraiser or licensure as a state licensed real estate appraiser.

          D. A holder of a license or residential certificate is authorized to prepare appraisals of nonresidential real estate; provided that such appraisals are not described or referred to as "state certified by a general certified appraiser"; and provided, further, that the holder of the certificate does not assume or use any title, designation or abbreviation likely to create the impression of general certification.

          E. To perform in federally related transactions, as referenced in the federal Financial Institutions Reform, Recovery, and Enforcement Act of 1989, a real estate appraiser shall, at a minimum, meet the requirements for licensing as currently defined.

          F. The requirement of registration, licensing or certification shall not apply to a real estate broker or salesperson who, in the ordinary course of business, gives an opinion of the price [or value] of real estate for the purpose of securing a listing, marketing of real property, affecting a sale, lease or exchange, conducting market analyses or rendering specialized services, and as authorized by Title 11 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 3331 et seq.); provided, however, that this opinion of the price [or value] shall not be referred to or construed as an appraisal or appraisal report [and no compensation, fee or other consideration is expected or charged for such opinion, other than the real estate brokerage commission or fee for services rendered in connection with the identified real estate or real property].

          G. The requirement of registration, licensing or certification shall not apply to real estate appraisers of the property tax division of the taxation and revenue department, to a county assessor or to the county assessor's employees, who as part of their duties are required to engage in real estate appraisal activity as a county assessor or on behalf of the county assessor and no additional compensation fee or other consideration is expected or charged for such appraisal activity, other than such compensation as is provided by law.

          H. The prohibition of Subsection A of this section does not apply to persons whose real estate appraisal activities are limited to the appraisal of interests in minerals, including oil, natural gas, liquid hydrocarbons or carbon dioxide, and property held or used in connection with mineral property, if that person is authorized in [his] the person's state of residence to practice and is actually engaged in the practice of the profession of engineering or geology.

          I. The process of analyzing, without altering, an appraisal report that is part of a request for mortgage credit is considered a specialized service as defined in Subsection M of Section 61-30-3 NMSA 1978 and is exempt from the requirements of registration, licensing or certification."

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