Newsletters

• Director's Message - Disagree Better
• Rule Developments
• Commission member highlight (Farewell to Kay Ashton)
• Craig Morley Tribute
• Mortgage – License Renewal For 2024
• Division Staff Spotlight (Regina)
• 3rd Quarter Licensing & Disciplinary Actions
• Sanctions & Licensing - Kagie’s Korner
• While sales are slow, increase your education!
• Appraisal USPAP expiration and update
• AARO conference
• 2023 IDW
• Newsletter feedback QR code
• Social Media Links
• Credits

A divided or separated appraisal process has been introduced at a national level for some appraisals and is sometimes described as a bifurcated appraisal. In this type of appraisal, property data for the appraisal is provided by a third-party, not the appraiser assigned to complete the appraisal assignment. A proposed rule amendment would require an AMC that chooses to offer a bifurcated appraisal assignment to communicate to the appraiser information about who collected data for use in the appraisal assignment, when the data was collected, and other relevant information. In addition, the proposed rule would reduce the education requirement for AMC personnel who select an appraiser for an assignment or review the appraisal.

The public comment period for the rule amendment ended on July 31, 2023. A decision as to whether the proposed rule amendment should be approved is currently being considered by the Real Estate Appraiser Licensing and Certification Board.

The Utah Residential Mortgage Practicing and Licensing Rules have been amended. The amendment became effective on August 8, 2023. The amended rule includes:

1. oversight of loan originators and staff who telework by the lending manager;
2. privacy and security requirements for customer data; and
3. a requirement that a mortgage company notify its customers in the event of a suspected security breach if misuse of the customer’s personal information is likely to occur as a result of the security breach.

The proposed rule amendment was submitted for review, first to the Division of Administrative Rules, and then to the Governor’s office. Several non-substantive changes have been made and the rule filing is currently being reviewed by the Governor’s Office a second time. The proposed rule amendment should soon be published for a period of public comment.

The Utah Real Estate Licensing and Practices Rules have been amended.  The amendment became effective on August 16, 2023.  The amended rules include:

1. the process to designate an acting principal broker in the event of the death or incapacity of a principal broker;
2. additional core topics for continuing education;
3. the easing of licensing qualification requirements for an applicant who is licensed as a broker in another state; and
4. other minor proposed changes.

In recent months, the Real Estate Commission has formed two committees to consider additional rule amendments. One committee is reviewing advertising rules, the other committee is reviewing the role of the transaction coordinator. These committees have been meeting over the past several months and if a committee presents a recommendation to the Real Estate Commission for changes to the administrative rules, the Commission will determine whether to begin the rule amendment process.

All Mortgage licenses are renewable on an annual basis. Renewal requests can be made on your NMLS filing between November 1 and December 31, 2023. You can prepare now so that your renewal will go smoothly by following the checklists:

Individual Renewal Checklist: (loan originators and lending managers)

Before November 1^st, 2023

1. Review your MU4 filing in the NMLS to ensure your information is current and correct. This includes your name, mailing address, email, phone number(s), and employment history.
2. Review your NMLS filing to make sure there are no license items. License items can be deficiencies or requirements pending on your license and must be cleared prior to requesting renewal. When a license item is placed on your filing, you receive an email through the NMLS notifying you of the deficiency or requirement. Some common deficiencies include employment history updates, returned ACH payments that remain unpaid, and requests for information about disclosure questions or credit reports. Satisfy all pending license items prior to renewal. You may call the Division of Real Estate at 801-530-6747 if you do not understand a noted deficiency or need help clearing it. For assistance in navigating the NMLS system, please contact the NMLS Call Center at (855)-665-7123. NMLS Support staff will assist you with NMLS system use issues and in requesting your license renewal online.
3. If your driver’s license number has changed, be sure to indicate this update on your filing, as well as your US citizenship status. This information can be found under the identifying information section on your MU4 form. If your data is incorrect or incomplete, we may place a deficiency on your license, requiring you to provide the Division with a copy of the Certificate of Legal Presence. If your information reflects accurately on your MU4 filing, you will not need to submit a Certificate of Legal Presence to us as you may have done in prior years.
4. Education: NMLS-approved continuing education (8 hours), the Utah Law Course (1 hour), and *MLOs licensed between November 1, 2022 and October 31, 2023, must have completed the Utah MLO Course (5 hours) by October 21, 2023 if they desire to renew their mortgage license. Lending Managers are NOT required to complete the Utah MLO Course. All continuing education requirements must be completed prior to requesting renewal. It is recommended that these hours be completed no later than December 15th, 2023, in order to ensure an on-time renewal. The NMLS will prevent you from requesting renewal if these CE hours are not banked in the NMLS before December 31, 2023.
5. If your license is on probation and there are requirements that must be completed at renewal, either to have the probation removed or as terms of the probation, make sure these items are reported to the Division before you request renewal. This will aid in getting your renewal processed on time.
   *MLOs LICENSED BETWEEN NOVEMBER 1, 2022 AND OCTOBER 31, 2023 MUST HAVE COMPLETED THE UTAH MLO COURSE (5 HOURS) BY OCTOBER 21, 2023 IF THEY DESIRE TO RENEW THEIR MORTGAGE LICENSES ON NOVEMBER 1st. You will be prevented from renewing until your hours are banked on the NMLS and the division has removed the prevent renewal from your license.

On or After November 1st, 2023:

1. You may request renewal of your license through the NMLS. The renewal fee is $78.00, including the NMLS processing fee of $30, the Renewal fee of $30.00, and the Recovery Fund fee of $18.00. You will be required at that time to ATTEST to the accuracy of your filing, so make sure, once again, that all is correct.
2. If there is a change in your answers to the disclosure questions, you must upload the required documentation and provide an explanation of the difference in your filing.
3. If you request your renewal prior to January 1st, 2024, your license will remain in the status that it was prior to your request for renewal. If your status was active, you may continue to work as usual while your request is being reviewed. Approval of your request for renewal is contingent on all requirements being met.
4. A credit report and background check are NOT REQUIRED this year.

Entity License Renewal Checklist: (company, dbas, branches)

Prior to November 1st, 2023:

1. Review MU1 filing and/or MU3 filing to confirm that all the information, including company location, mailing address, contact information, etc., is correct.
2. If there is a change to any of your answers to the disclosure questions, you must provide a detailed explanation and upload documentation to support your explanation.
3. Review the entity filing to ensure there are no license items. These items could include a missing quarterly *MCR report, returned ACH payment, updating the qualifying individual, company ownership, etc.
   *MCR reports are required to be filed at the end of each quarter; companies with missing reports that are past the 75-day deadline will be prevented from renewing and could be subject to license denial and/or fines.
4. Provide a current Certificate of Existence for all entities & DBAs from the Utah Division of Corporations. Please upload your certificate to the Certificate of Authority/Good Standing section document upload of your MU1 filing. You may replace your 2022 certificate with the new 2023 certificate.

Prior to November 1st, 2023:

1. Request and pay renewal fees through NMLS between November 1 and December 31, 2023. If your renewal is requested prior to January 1, 2024, your license will remain in the status that it was prior to your request for renewal. If your license status was active, work may continue as usual while your renewal request is in review. Approval of your request for renewal is contingent on all requirements being met, in which case, the Division will process your request as quickly as possible. A new 2024 license will be emailed to the email address listed in the regulator's contact information.

Please note that Utah law allows 30 days for appeal of an order. Some of the actions below might be subject to this appeal right or currently under appeal.

To view a copy of an order referenced in this article, please visit the Utah Division of Real Estate Website under the Enforcement Menu, Disciplinary Actions

https://db.realestate.utah.gov/licensing-and-disciplinary-actions/

CHANGE LENDING, LLC, (formally know as COMMERCE HOME MORTGAGE, LLC), mortgage lender company, Anaheim, California. In a stipulated order dated August 18, 2023, Change Lending admitted that its principal lending manager left the company and was not replaced.  This resulted in the automatic inactivation of the company’s license.  During this time, Change Lending continued to transact mortgage business in Utah without an active license, in violation of Utah law.  After discovering this oversight, Change Lending self-reported the matter to the Division and designated a new principal lending manager.  The Division then reactivated its license.  Change Lending closed 16 loans while its license was inactive.  Since these events, Change Lending has implemented a number of protocols to prevent another similar occurrence.  Change Lending agreed to pay a civil penalty of $5,000.  Docket number RE-23-5016 and Division Case No. MG-19-112703

CITY FIRST MORTGAGE SERVICES, LLC, mortgage lender company, Bountiful, Utah.  In a stipulated order dated August 2, 2023, City First admitted that between June 2019 and June 2020, it operated an unregistered branch in South Jordan, Utah.  None of City First’s employees associated with the unregistered branch held a lending manager license at the time.  City First admits that its actions are in violation of Utah Administrative law and agreed to pay a civil penalty of $10,000.  Division Case No. MG-19-115347

O’CONNELL, JOHN PATRICK, lending manager, San Juan Capistrano, California.  In an order dated June 9, 2023, Mr. O’Connell’s license was granted and placed on probation through the 2024 licensing cycle due to his criminal history and licensing restrictions placed on his California mortgage loan originator and real estate broker licenses.  Docket number MG-2023-038

WRIGHT, MARK CHRISTOPHER, lending manager, license expired January 1, 2022, Highland, Utah.  On April 20, 2022, Mr. Wright pleaded guilty to bank fraud in a federal criminal case.  In a stipulated order with the Division dated August 2, 2023, Mr. Wright admits that his guilty plea in the criminal case resulted from fraudulent documents that he and his assistant created in connection with 16 mortgage loan applications originated between February 22, 2017, and May 3, 2019, while his license was sponsored by American Pacific Mortgage.  The documents were created or utilized to satisfy underwriting conditions and influence the mortgage lender to issue the loans.  Mr. Wright received compensation of $48,054.08 from American Pacific Mortgage in connection with the loans.  His sentence in the criminal case includes an order that he pay restitution in the amount of $48,054.08.  On November 10, 2022, the Federal Housing Finance Agency suspended Mr. Wright from engaging in a business relationship with each federally regulated entity for five years beginning December 28, 2022.  Mr. Wright admits that his actions are violations of Utah law and administrative rules.  He agreed to pay a civil penalty of $59,000 of which up to $49,000 may be reduced dollar for dollar for restitution paid in the criminal case.  He also agreed that he will not apply for a Utah mortgage loan originator license for at least eight years.  Division Case No. MG-19-113440

AMES, LANA R, sales agent, Sandy, Utah.  In a stipulated order dated June 21, 2023, Ms. Ames admits that she advertised the availability of real estate in a false, misleading, or deceptive manner.  This case relates to the listing of property for which the owner was deceased.  The property was advertised prior to the appointment by the court of a personal representative for the estate.  Ms. Ames agreed to pay a civil penalty of $1,000 and to complete three hours of continuing education in addition to the continuing education required for her next license renewal.  Division Case No. RE-21-124095

ARNOLD, ROICE MATTHEW, sales agent, Stansbury, Utah.  In a stipulated order dated August 16, 2023, Mr. Arnold admits that in representing a buyer in a transaction, he failed to inform sellers’ agent that the buyer did not deposit earnest money with the brokerage.  In communications with sellers’ agent, Mr. Arnold agreed to send a receipt for the earnest money and falsely claimed that buyer sent the earnest money by mail but that it had not been received.  The buyer performed a final walkthrough of the property and sellers moved out.  When the sale failed, sellers’ agent informed Mr. Arnold that the sellers had elected to claim the earnest money rather than pursue legal action.  Buyer never paid the earnest money and sellers did not receive the earnest money from either the buyer or from Mr. Arnold’s brokerage.  Mr. Arnold admits that his actions are in violation of Utah law and administrative rules.  He agreed to pay a civil penalty of $2,000.  Docket number RE-23-5019 and Division Case No. RE-21-125118

BEAUDOIN, KARLIE KATHLEEN, sales agent, Kaysville, Utah.  In an order dated August 4, 2023, Ms. Beaudoin’s license was renewed and, due to a criminal matter occurring during the past licensing period, her license was placed on probation.  Docket number RE-2023-050

BODEN, TREVOR GRANT, sales agent, Ogden, Utah.  In an order dated August 31, 2023, Mr. Boden’s license was renewed and, due to a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-062

BODILY, KARLI, sales agent, Layton, Utah.  In an order dated August 18, 2023, Ms. Bodily’s license was granted and placed on probation for the initial licensing period due to criminal history.  Docket number RE-2023-058

CARRASCO-SOTO, MIGULE ANGEL, sales agent, Roy, Utah.  In an order dated August 10, 2023, Mr. Carrasco-Soto’s license was renewed and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-056

CASEY, JOHN PATRICK, sales agent, Bozeman, Montana.  In an order dated August 30, 2023, Mr. Casey’s license was renewed and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-061

COATES, PETER M, unlicensed, West Jordan, Utah.  In a hearing held July 13, 2023, the Division found that Mr. Coates does not have a license to practice as a real estate agent or broker and that he had placed signs on properties indicating that the properties were for sale.  In an order dated July 17, 2023, Mr. Coats was ordered to cease and desist from the unlicensed practice of real estate as a sales agent or broker.  Case No. RE-22-134949

CROWE, JENNIFER N, sales agent, St. George, Utah.  In an order dated July 28, 2023, Ms. Crowe’s license was reinstated and, due to a criminal matter occurring during the past licensing period, her license was placed on probation.  Docket number RE-2023-047

DRAGNICH, KYLE W, sales agent, Logan, Utah.  In an order dated July 13, 2023, Mr. Dragnich’s license was granted and placed on probation due to an unpaid civil judgment.  Docket number RE-2023-044

FALLS, THATIAM ALFONSO, sales agent, Orem, Utah.  In an order dated August 7, 2023, Mr. Falls’ license was reinstated and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-051

FARNSWORTH, STOCKTON, associate broker, Salt Lake City, Utah.  In an order dated August 31, 2023, Mr. Farnsworth’s license was renewed and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-064

HANNAN-CANNETE, EDWARD, sales agent, South Salt Lake City, Utah.  In an order dated June 30, 2023, Mr. Hannan-Cannete’s license was granted and placed on probation for the initial licensing period due to a plea in abeyance agreement in a criminal matter.  Docket number RE-2023-040

ISAKSON, JEANNE, unlicensed, Salt Lake City, Utah.  In a stipulated order dated July 19, 2023, Ms. Isakson admits that she entered into a verbal agreement to manage rental property for a monthly fee from the property owner.  She managed the property for a number of years, including for three separate tenants.  She also managed another property for about ten months.  Ms. Isakson is not licensed and her actions are in violation of Utah law.  She agreed to pay a civil penalty of $5,000 and to cease and desist from property management until she is properly licensed by the Division.  Docket number RE-23-5010 and Division Case No. RE-19-111775

JONELIS-QUIRANTE, SENECA AUSTIN, sales agent, West Jordan, Utah.  In an order dated August 7, 2023, Mr. Jonelis-Quirante’s license was renewed and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-052

KEMP, RYAN T, sales agent, Layton, Utah.  In an order dated July 28, 2023, Mr. Kemp’s license was renewed and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-046

KUNZ, CANDICE, sales agent, Pleasant View, Utah.  In a stipulated order dated August 16, 2023, Ms. Kunz admits that she entered into a limited agency consent agreement in order to represent both parties in a transaction.  After entering into the limited agency consent agreement, she loaned one of the parties to the transaction money and became a member of the company.  Ms. Kunz continued to act as a limited agent despite having become a principal in the transaction.  This is a violation of Utah law.  She agreed to pay a civil penalty of $4,000 and to complete three hours of continuing education in addition to the continuing education required for her next license renewal.  Division Case No. RE-20-116255

MCCORMICK, LEX C, principal broker of Adept Properties, Sunset, Utah.  In a stipulated order dated July 19, 2023, Mr. McCormick admits that he was hired as the principal broker for Adept Properties (“Adept”) and was the person responsible to supervise Adept’s property management operations and trust account.  The owner of Adept was not licensed by the Division.  The owner’s wife was licensed by the Division as a sales agent.  The agreement between the owner and Mr. McCormick was that the owner and his wife would operate the property management business and Mr. McCormick would operate the real estate sales business for Adept.  Over a period of approximately 16 months, the owner withdrew for his personal benefit at least $145,449.22 from Adept’s property management trust account from rent and security deposits belonging to owners of properties managed by Adept.  Mr. McCormick did not participate in the daily property management operations of Adept.  He did not have access to Adept’s bank accounts and did not maintain, safeguard, or reconcile required records, including trust account records.  His conduct failed to conform with accepted standards of the industry.  During Adept’s time of operation, Mr. McCormick’s complete lack of oversight enabled the owner to unlawfully conduct himself as principal broker and property manager of at least 49 client units and illegally withdraw funds from the trust account.  Mr. McCormick’s actions violated numerous laws and administrative rules.  He agreed to pay a civil penalty of $10,000 and to have his broker’s license revoked.   The owner’s wife was previously sanctioned by the Division in a separate case.  The Division has not brought an enforcement action against Adept’s owner as he is deceased.  DRE Case No. RE-19-109908

MORGAN, JASON, sales agent, Sandy, Utah.  In an order dated August 10, 2023, Mr. Morgan’s license was reinstated and, due to a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-055

NIELD, NAYLENE, principal broker, Cedar City, Utah.  Ms. Nield entered into an exclusive listing agreement with a client and agreed to represent her in the sale of a home.  The home was the residence of both the client and the client’s deceased spouse but title to the home was held solely by the deceased spouse, who died without a will.  In the MLS listing, Ms. Nield disclosed that probate of the estate would have to be finalized prior to sale.  The client filed documents in probate court to be appointed as the personal representative of her deceased spouse’s estate and sent a text message to terminate her listing agreement with Ms. Nield.  Utah Administrative Code provides that a licensee may not advertise or sell property without the written consent of the owner of the property.  Ms. Nield could not obtain the written consent of the owner until the personal representative was appointed.  She admits that her actions were in violation of the Administrative Code.  Until her client had been appointed personal representative of the estate, she could not consent as owner to advertising the property for sale.  Ms. Nield agreed pay a civil penalty of $1,000 and to complete three hours of continuing education in addition to the continuing education required for her next license renewal.  Docket number RE-2023-5011 and Division Case No. RE-19-111761

NIBLEY, DAVID, unlicensed, South Jordan, Utah.  In a stipulated order dated August 16, 2023, Mr. Nibley admits that he violated Utah law which requires licensure before a person may engage in the business of a real estate broker or sales agent.  Mr. Nibley was an employee of Utah Sale Now, LLC.  In a listing on KSL.com, he is identified as the seller’s contact person for the sale of residential property in Tooele, Utah.  Mr. Nibley sent an email to a prospective buyer and indicated that he was available to answer questions about the property and receive offers to purchase the property.  Mr. Nibley emailed a real estate purchase contract (“REPC”) to the prospective buyer.  Ultimately, the REPC was not executed by the parties to the offer.  Mr. Nibley agreed to pay a civil penalty of $5,000.  DRE Case No. RE-19-113257

NIELSEN, MICHAEL, sales agent, Washington, Utah.  In a stipulated order dated June 21, 2023, Mr. Nielsen admits that he failed to obtain written agency from either party when representing both the buyer and seller of a new home to be constructed.  In addition, he failed to obtain a limited agency consent agreement.  These failures are in violation of Utah law and administrative rules.  Mr. Nielsen agreed to pay a civil penalty of $2,000 and to complete three hours of continuing education in addition to the continuing education required for his next license renewal.  DRE Case No. RE-20-123434

PETERSON, MATTHEW W, sales agent, Syracuse, Utah.  In an order dated June 23, 2023, Mr. Peterson’s license was renewed and, due to a pending charge in a criminal matter that occurred during the past licensing period, his license was placed on probation.  Docket number RE-2023-039

POWELL, JASON, unlicensed, Atlanta, Georgia.  On August 14, 2023, the Division issued a citation to Mr. Powell for entering into an exclusive listing agreement and later advertising the property for sale.  Mr. Powell is not licensed in Utah.  The citation assessed a fine in the amount of $1,000.  Citation # DREC-23-11, Case No. RE-22-138535

RIOS-UGARTE, JUAN A, sales agent, West Jordan, Utah.  In an order dated August 4, 2023, Mr. Rios-Ugarte’s license was granted and placed on probation for the initial licensing period due to criminal history.  Docket number RE-2023-049

SANCHEZ, ISAIAS JOSE, sales agent, Hyrum, Utah.  In an order dated July 11, 2023, Mr. Sanchez’s license was granted and placed on probation for the initial licensing period due to criminal history.  Docket number RE-2023-043

SAXTON, BRANDON KENNETH, sales agent, Ogden, Utah.  In an order dated August 31, 2023, Mr. Saxton’s license was reinstated and, due to a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-063

SENKOVSKAYA, TATIANA, sales agent, Sandy, Utah.  In an order dated July 14, 2023, Ms. Senkovskaya’s license was renewed and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, her, license was placed on probation.  Docket number RE-2023-045

SMITH, COLBY STEPHEN, sales agent, Sandy, Utah.  In an order dated August 7, 2023, Mr. Smith’s license was renewed and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-054

SMITH, RICHARD L, sales agent, Park City, Utah.  In an order dated July 28, 2023, Mr. Smith’s license was renewed and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-048

STECKLING, PAIGE T, sales agent, Pleasant Grove, Utah.  On August 14, 2023, the Division issued a citation to Ms. Steckling for advertising her real estate services on Instagram and Facebook without identifying her affiliated brokerage.  The citation assessed a fine in the amount of $500.  Citation # DREC-23-8, Case No. RE-22-136333

STOREY, ROBERT E., principal broker, Ogden, Utah.  In an order dated July 6, 2023, Mr. Storey’s license was renewed and, due to a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-042

VAN DRESSER, Max, unlicensed, Atlanta, Georgia.  On August 14, 2023, the Division issued a citation to Mr. Van Dressler for advertising the property for sale without being licensed in Utah.   The advertisements were placed with two internet advertising platforms.  The citation assessed a fine in the amount of $1,000.  Citation # DREC-23-10, Case No. RE-22-138546

WEBSTER, ZACHARY IAN, sales agent, Millcreek, Utah.  In an order dated August 7, 2023, Mr. Webster’s license was reinstated and, due to a plea in abeyance agreement in a criminal matter occurring during the past licensing period, his license was placed on probation.  Docket number RE-2023-053

WILLIAMS, ADDISON MARIE, sales agent, Provo, Utah.  In an order dated August 30, 2023, Ms. Williams’s license was granted and placed on probation for one year due to a plea in abeyance agreement in a criminal matter.  Docket number RE-2023-060

Each quarter the Division distributes the newsletter with an article on licensing and disciplinary actions and each quarter we receive telephone calls and emails from licensees asking why the Division licenses so many people with a criminal history.

Although it may seem like a lot at first glance, it’s actually a very small percentage. Let’s break it down. Using the licensing data for real estate, mortgage, and appraisal from the first three quarters of 2023, the Division received approximately 13,000 applications (3,200 initial applications and 9,800 renewal applications). 61 of these applications had a criminal matter to disclose that resulted in an order being issued which is less than half of one percent or one out of every 213 applications. Some quarterly newsletters may have more licensing and disciplinary actions, some less. Regardless, the percentage is quite small.

When reading the disciplinary action section of the newsletter it may appear as though many applicants have had their license sanctioned for criminal activity.  Once you understand the total number of licenses that are granted or renewed without any criminal history, only then can you recognize that this is actually a very small percentage.

Another factor that helps us to put the number of licensing and disciplinary actions into context is to consider that many disclosures are for relatively minor offenses and other disclosures are for offenses that occurred many years ago. The initial application for licensure asks an applicant to disclose if they have EVER been convicted or if they have EVER resolved a criminal offense through a plea in abeyance agreement. With a plea in abeyance, there is no conviction but we still take the conduct into account.

EVER is a long time (longer for our older applicants). People learn, mature, and change over time. A very serious conviction that occurred a number of years ago may warrant the denial of an application for licensure. However, if an applicant demonstrates a change in behavior through several years without criminal conduct, a license without restriction or a license on probation may be the appropriate and fair decision. Similarly, a less serious but more recent conviction may justify the denial of an application or the granting of a restricted license.

This issue becomes even more significant when the decision involves an experienced broker or sales agent. Criminal conduct that results in the denial of an application for license renewal may result in the premature end of a long and successful career and a person’s livelihood. It can be a difficult decision. However, it is a decision we are prepared to make when necessary to protect the public.

I hope this article will help our licensees understand that more than 99.5% of all licensees during the first three quarters of 2023 successfully made applications without reportable criminal histories that resulted in an order. The Division carefully reviews and addresses applications with a criminal history. Now, with enrollment in the FBI’s RAP Back system, the Division can review a licensee’s criminal record significantly sooner and with greater confidence than waiting for a licensee to self-report criminal conduct.

The mission of the Division includes the mandate to protect the public. Another Division responsibility is to ensure that an applicant is prepared to competently serve the public while removing unnecessary barriers to obtaining entry into their desired profession. If we determine that we can protect the public and grant a license, restricted or not, we will do so. We will always act to protect the public. Balancing these two important principles is something we do every day. We do our best and believe that the result strikes the right balance.

by Laurel North | Enforcement Manager

In an ideal world, a consistently increasing real estate market would facilitate gauging our business growth, and in turn, our personal finances in a delightfully measurable way but unfortunately the real estate market feels a little bearish lately. If you’re wondering what to do with the bonus time a slowing market affords, maybe it’s time to increase your knowledge base, accumulate some certifications, become more proficient in your area of expertise, or, what about upgrading your license from sales agent to broker or from licensed appraiser to certified appraiser or from a mortgage loan originator to a lending manager? Have you ever thought about enrolling in some cross education? For example, if you’re a real estate licensee, take an appraisal or property management class or if you’re an appraiser, take a commercial real estate class and if you’re a mortgage licensee, take a real estate class.

Did you know that the Division of Real Estate website is an excellent resource for searching and linking to current continuing education courses and providers for real estate, appraisal, and mortgage licensees? If you go to the home page, click on either the real estate, appraisal, or mortgage button you will see some tabs in blue, on the left-hand side of the page, click on education, and you are presented with a depth chart of options to learn and progress within each industry.

If you are a Realtor® and would like to add some impressive acronyms after your name like CRS, CCIM, GRI, GREEN, etc., check out the Certifications and Designations section of the National Association of Realtors® https://www.nar.realtor/education/designations-and-certifications. I counted 15 certifications and 17 designations currently available to members of the Realtor® organization.

If you are an appraiser you might like to add a MAI, SRPA, or an SRA after your name through the Appraisal Institute https://www.appraisalinstitute.org/our-designations/. I counted 5 designations listed through that organization.

If you are a mortgage licensee, you don’t have the option of certifications and designations, but you could invest some time into becoming a real estate or appraisal licensee. It could be optimal to cross-train for a side gig.

Being better educated in your industry brings enhanced value to you, your business, and your clients, which means more clients flocking to hear your sage advice. Go ahead, try something new, give it your focus, and fully engage in learning while your work time is more liberal.

2024 Edition of USPAP

As you may be aware, the new edition of the Uniform Standards of Professional Appraisal Practice will not have an end date, only an effective date of January 1, 2024.

The Appraisal Standards Board (ASB) no longer plans to update USPAP on a two-year cycle but instead will focus on guidance for the marketplace. USPAP will now be updated on an as-needed basis.

Because of this change, the ASB will publish the USPAP standards in a standalone book or digital version. The USPAP Guidance and Reference Manual (GRM), which includes the Frequently Asked Questions, Advisory Opinions, and the Reference Manual will be published separately.

This will give the ASB the flexibility to update necessary guidance, which happens on a more frequent basis, without leading to the publication of a new book of standards.

7-Hour National USPAP Update Course

The revised 7-Hour National USPAP Update Course has been developed by The Appraisal Foundation (TAF) and will be available sometime in October. The course is similar in format and design to the previous update course that has been in existence for the past two years. The new update course focuses on recent changes to USPAP. The course includes 2½ hours on requirements for ethical behavior including non-discrimination and competent performance by appraisers. Additionally, case studies and tools to help you learn how to better navigate USPAP in order to solve problems in your daily appraisal practice.

Future Education Requirement Changes

Effective January 1, 2026

Qualifying Education (QE) – January 1, 2023 – will increase by eight (8) hours for Trainee and Licensed appraiser classifications. The additional hours will pertain to focused education on valuation bias and fair housing laws and regulations. There is no change in the total number of QE hours for Certified Residential or Certified General classifications.

Continuing Education (CE) – January 1, 2026 – Appraisers must successfully complete a CE course on Valuation Bias and Fair Housing Laws and Regulations every two calendar years.

The first time an appraiser completes the continuing education requirement for this course, the course length must be seven (7) hours. If an appraiser successfully completed a (7) hour (plus 1 hour exam) course as part of their qualifying education, they have met this requirement.

Every two calendar years thereafter, the course length must be at least (4) hours.

The Practical Application of Real Estate Appraisal (PAREA)

The Appraisal Institute has recently been approved by the Appraisal Qualifications Board (AQB) to provide the Licensed Appraiser Module of PAREA. The AI Licensed Appraiser Module is anticipated to take six months, on average, to complete, and the cost of this module is less than $4,500. Some sponsorships will be available for some participants.

At least two additional providers are in the process of developing PAREA module courses.

Later this year The Appraisal Institute plans to have the Certified Residential PAREA module available.

Will be Held at the Hilton Salt Lake Center - October 7-9, 2023

Registration Form: https://aaro.net/getattachment/Events/Conference-Registration-Form-(3).pdf?lang=en-US

The State of Utah, Department of Commerce, and Division of Real Estate warmly welcome National Regulators, Appraisers, and Guests to the Fall 2023 AARO Conference.

Scheduled speakers at this conference of National Appraiser Regulators include:

         Vanessa Beauchamp AARO President, and

         Justin Barney - Utah Division of Real Estate Attorney & and Conference Ambassador

         Appraisal Subcommittee Update – Jim Park

         The Appraisal Foundation Update – Kelly Davids, Michelle Czekalski Bradley and Brad Swinney

         How to Handle An Active Threat – Eric Haskell, SLC Police Department

         Fannie Mae and Freddie Mac – Lyle Radke, Scott Reuter

         What’s the Status? A National and State Regulatory and Legislative Update -

Scott DiBiasio, Craig Steinley

         That’s Not How I Would Do It! – Mel Black, Julie Molendorp-Floyd

         Listening Session with The Appraisal Foundation – Kelly Davids and Frank Gregoire

         President’s Remarks – Vanessa Beauchamp AARO President

Break Out Council Topic Sessions include:

         The ASC, USPAP, and Appraisal Management Companies

We thank the Association of Appraiser Regulatory Officials for bringing their fall conference to Utah and for the insightful presentations from appraisal industry leaders and regulators.

Our highly anticipated annual Instructor Development Workshop (IDW) is here! Don’t miss out, fill out the registration form today!

Attendance at the two-day IDW is REQUIRED once every two years for all real estate, mortgage, and appraiser pre-licensing instructors and real estate continuing education instructors who teach any of the Mandatory Courses. Mortgage and appraisal CE instructors are invited to attend this workshop, but please keep in mind that no CE credit can be given. Only Real Estate instructors (pre-license and continuing education) and attending real estate licensees will be eligible to receive core continuing education credit for attendance at this outstanding training event. Please keep in mind that CE credits are only awarded in full-day segments.

We are also excited to announce and introduce to you this year’s guest speaker, Betsy Coyne. Betsy Sabatini Coyne, CDEI, REEA GSI, has been training corporations and individuals for 35 years. After years of conducting systems training, she founded Master Tech Club, focusing on helping professionals integrate technology into their lives & businesses. As a global Zoom instructor, Betsy has trained thousands of people how to connect, teach & manage business in a virtual world while helping them keep the doors to their businesses open during the worldwide shutdown. She specializes in the real estate industry & has spent much of her time teaching real estate agents, brokers, and educators how to master technology for more productive transactions, classes, and events. While conducting professional development workshops, she is recognized as one of the most highly sought-after technology instructors for real estate associations nationwide.

Besty is known for her ability to explain today’s technology concisely yet patiently. She will show you technological solutions to improve and fast-track your teaching success, all while having fun doing it! Classes and virtual meetings will be more engaging, run glitch-free, and bring more impactful experiences for you and your students.

We are excited to have Betsy as our speaker this year and look forward to seeing you all there!

Did you know……

The Division of Real Estate is on Facebook and Instagram making it easier than ever to stay connected and in the know!

Both are great places to stay up to date on renewal dates, deadlines, rule and industry updates, event announcements, and much more. Click the links below and be sure to follow our pages!