61-2e-304. Required disclosure — Customary and reasonable compensation.
| (1) |
Before an appraisal management company may receive money from a client for a real estate appraisal activity requested by the client, the appraisal management company shall disclose to the client the total compensation that the appraisal management company pays to the appraiser who performs the real estate appraisal activity. |
Terms Used In Utah Code 61-2e-304
- Appraisal: A determination of property value.
- Appraisal: means the same as that term is defined in Section 61-2g-102. See Utah Code 61-2e-102
- Appraisal report: means the same as that term is defined in Section 61-2g-102. See Utah Code 61-2e-102
- Appraiser: means an individual who engages in a real estate appraisal activity. See Utah Code 61-2e-102
- Board: means the Real Estate Appraiser Licensing and Certification Board that is created in Section 61-2g-204. See Utah Code 61-2e-102
- Client: means a person that enters into an agreement with an appraisal management company for the performance of a real estate appraisal activity. See Utah Code 61-2e-102
- Concurrence: means that the entities that are given a concurring role must jointly agree before an action may be taken. See Utah Code 61-2e-102
- Division: means the Division of Real Estate, created in Section 61-2-201, of the Department of Commerce. See Utah Code 61-2e-102
- Property: includes both real and personal property. See Utah Code 68-3-12.5
- Real estate appraisal activity: means the same as that term is defined in Section 61-2g-102. See Utah Code 61-2e-102
| (2) |
An appraisal management company shall compensate an appraiser for an appraisal at a rate that is:
| (a) |
customary and reasonable for an appraisal in the geographic market area of the property being appraised; and |
| (b) |
consistent with a presumption of compliance under the Dodd-Frank Wall Street Reform and Consumer Protection Act, Pub. L. No. 111-203, and implementing federal regulations. |
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| (3) |
The board may, with the concurrence of the division, define by rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act:
| (a) |
the disclosures required to be made by the appraisal management company to the appraiser; |
| (b) |
the disclosures required to be made by the appraiser in the appraisal report; |
| (c) |
the form and content of the disclosure required by Subsection (1); and |
| (d) |
the customary and reasonable compensation required to be paid to appraisers by appraisal management companies. |
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Amended by Chapter 25, 2016 General Session
Amended by Chapter 384, 2016 General Session
