The way that appraisers use the word “certified” when describing their qualifications can be revealing. Unlike real estate, there are no U.S. government agencies that regulate personal property appraisal practices. Technically, anyone can claim to be a personal property appraiser — this includes those valuing fine art, antiques, and collectibles. So how do you discern who is a professional and qualified appraiser? One useful indication is the way an individual describes his or her credentials. By learning the meanings of “USPAP Compliant,” “Certified,” and “Accredited” in the context of personal property appraising, you will be better informed in your choice for an appraiser.

Compliance with USPAP

Since there are no licenses for personal property appraisers, the closest form of regulation that an appraiser may opt to adhere to is the Uniform Standards of Professional Appraisal Practice (USPAP). Adopted by Congress in 1989, USPAP, as set forth by The Appraisal Foundation, is the widely recognized ethical and performance standards for the appraisal profession in the United States.

To become compliant, an appraiser is required to take a fifteen-hour course followed by five-hour update courses every two years. However, not all appraisers or firms providing appraisals are USPAP compliant. If an appraisal report will be filed with the IRS or has the potential to be used in court, it often benefits the client to select an appraiser who follows USPAP. David S. Bunton, President of The Appraisal Foundation, stated, “For the past three decades USPAP has become deeply embedded in our legal and regulatory system.”

While an appraisal society or organization can certify, you cannot be “USPAP certified.” Let me repeat. There is no such thing as being USPAP certified. The appropriate description should be something similar to “USPAP compliant,” “in compliance with USPAP,” or “adhering to USPAP guidelines.” The use of the phrase “USPAP certified” is an indication that the appraiser is not paying attention to The Appraisal Foundation rules nor understanding nuance, an important quality in an appraiser.

Certified Through Appraisal Organizations

The word “certified” is correctly used when describing an appraiser’s credentials, often in association with a professional appraisal organization. The three largest associations for personal property appraisers are the International Society of Appraisers (ISA), Appraisers Association of America (AAA), and American Society of Appraisers (ASA).

These groups require their members to be compliant with USPAP as well as maintain their specific standards. In addition to testing, continuing education, and demonstration of appraisal experience, members usually must re-qualify every few years to maintain their designation. For instance, you can be an ISA Certified Member, an ISA Accredited Member, or an ISA Member — with certified being the most rigorous level to achieve (see below for a further explanation).

It is also important to check that the appraiser is up-to-date with both USPAP and any organizational membership. You may be surprised to discover the number of individuals who claim to be in good standing yet has not maintained continuing requirements. An appraiser’s status can usually be verified by contacting the appraisal society or searching the online directory. It is also important to note that only an individual can be certified and not an entire company or firm.

ExampleS of Appraisal Credential Levels

What about all those acronyms after an appraiser’s name? They often signify membership to a professional appraisal organization and his/her level of designation. Each designation is an indication of compliance with ethical standards, professional experience, related education, and testing in appraisal methodology.

The International Society of Appraisers (ISA) has the following levels of credentialing:

Member - ISA: The individual has completed the core ISA training in appraisal theory, methodology, ethics, and report-writing standards and has documented three or more years of market-related experience.

Accredited Member - ISA AM: The individual has the official designation of a qualified ISA appraiser with a declared specialty and 700 documented hours of appraisal-related experience.

Certified Member - ISA CAPP: The individual has achieved highest achievement in ISA credentialing and the appraisal industry, signifying appraising expertise, professional development, and advanced skills. An ISA CAPP member has 900 documented hours of appraisal reporting and has passed the CAPP examination.

Private Client Services Affiliation: The individual has completed educational training about best practices when working with high-net-worth clients and their collections. Among the requirements, the appraiser must be in good membership standing, accredited or certified by the society, attended Appraising in the World of High-Net-Worth Individuals seminar, and demonstrated appropriate work experience and education.

The Appraisers Association of America (AAA) has the following designation levels:

Both Accredited and Certified AAA Members are required to have 120 hours of qualifying education, including a 15-hour USPAP course and exam.

Associates: Associate members are aspiring appraisers that have completed the fifteen-hour USPAP course and exam.

Accredited Members: Accredited Members make up the core of the association and represent those with significant expertise, qualifying education, and a minimum of five years of experience in personal property, specializing in the fine or decorative arts.

Certified Members: Certified Membership represents the highest level of accomplishment for members. Certified Members have the most extensive level of expertise, qualifying education, and a minimum of ten years of experience as an appraiser of personal property, specializing in the fine or decorative arts. In addition, they must submit three sample appraisals and pass an exam in an area of specialization.

Now that you have a better understanding of the proper meaning behind the words “Certified,” “Accredited,” and “USPAP compliant” within the field of personal property appraising. Hopefully, you are more empowered in your search for qualified appraisers as appropriate to each assignment.

As is the case when hiring any type of service, it never hurts to perform due diligence and ask questions in the beginning. Still curious to learn more about personal property appraising guidelines? Below are some links to further resources and appraisal organizations.

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About the Author: Courtney Ahlstrom Christy is the Principal Appraiser of Ahlstrom Appraisals LLC. She has worked with auction houses, museums, and galleries - all of which have provided unique opportunities to examine works ranging from the antique to the contemporary closely.