EL CAMINO COLLEGE COURSE OUTLINE: RE 42

I. COURSE DESCRIPTION:

Course Title and Number: Real Estate 42 (RE42) (formerly RE15C)
Descriptive Title: Real Estate Appraisal Standards and Ethics
Discipline: Real Estate
Hours Lecture: 3
Course Units: 1
Grading Method: Letter
Associate Degree Credit
Transfer CSU - Effective Date: prior 7/92.
Recommended Preparation: Real Estate Appraisal (RE40) OR concurrent enrollment, OR California OREA appraisal license OR Advanced Real Estate Appraisal (RE41) OR concurrent enrollment OR California DRE broker license.

Catalog Description:
This course covers the standards of practice of the real estate appraisal field with emphasis on ethical practices relating to data sources, reconciliation of type of appraisal, and the practitioner's final report.

NOTE: Completion of this course is required by the California Office of Appraisal (OREA) prior to taking the California appraisal examination with a closed book final exam. This course is approved by OREA for 17 hours of continuing education (C/E) credit for appraisal license renewal with a closed book final exam.

II. COURSE OBJECTIVES AND METHODS OF EVALUATION

A. Course Objectives:
1. The student will report on one element of the standard appraisal report form concerning the issues of practice and ethics.
2. The student will demonstrate the ability to make a written justification of an appraisal report and to defend the report.
3. The student will complete a vocabulary test on the terms of appraisal ethics and professional standards.

B. Methods of Evaluation:
1. Substantial writing assignments, including: reading report(s).
2. Skills demonstrations, including: Appraisal report.
3. Objective examinations, including multiple choice and true/false.

III. OUTLINE OF SUBJECT MATTER

Review of appraisal ethics and standards of professional practice guidelines. Legal responsibilities and liabilities for lenders and appraisers. Defining appraisal standards of practice. Designing and outlining a code of appraisal ethics. Outlining risks of practice for each of the following: Principal, lender, secondary market, government regulators, OREA licensees, DRE licensees. Defending written appraisal demonstrating issues of practice and ethics. Review of residential appraisal project

IV. READING AND WRITING ASSIGNMENTS

Three hours of work per week, including class time, are required for each unit of credit.

A. A representative example of an assignment.
1. The student will list the appraisal standard and ethics guideline applicable for each section of the standard appraisal form.
2. Each student will read the appraisal code, case studies and guidelines for appraisal standards and ethics.

B. Two hours of work outside of class are required for each hour of lecture or equivalent.
Each student will be required to perform the following outside of regular class time:
1. Study.
2. Answer questions.
3. Required reading.
4. Problem solving activity or exercise.
5. Written work.
6. Internet search.

V. COLLEGE LEVEL CRITICAL THINKING ASSIGNMENTS.

1. The student will outline and discuss the legal considerations and ramifications of the real estate appraisal report on the principal, lender, investor and licensed appraiser.
2. The student will identify and list the key economic principles and market conditions as they pertain to the standard of practice of appraisers.

VI. PLANNED INSTRUCTIONAL ACTIVITIES

This course is taught using forms, guidelines for ethical appraisal practices, discussion and debates on appraisal issues and Internet research on related topics.

VII. APPROPRIATE TEXT AND MATERIALS

Required:
California State Appraisal Standards and Ethics Guidelines, newest edition.
California Real Estate Appraisal,Betts and Ely, Prentice Hall Publishing, New Jersey.

Other Required Materials:
Real Estate Project, Grogan, newest edition, El Camino Bookstore.
Computer search for database comparables (such as Internet, homeseekers or similar).

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