For the past several years, the appraisal profession has battled the fact that a significant percentage of its workforce is aging. And as a greater number of appraisers approach retirement age, fewer newcomers are jumping in, meaning that their ranks are dwindling, and fast.
A survey conducted last year by the National Association of Appraisers revealed that 18.5% of the 500 active appraisers surveyed planned to retire in two to five years, while 18.7% planned to retire in six to 10 years, meaning that within a decade, almost 40% of the appraisal workforce would be retiring.
And very few professionals appear to be new entrants. That same survey by the NAA revealed that just 2.7% of respondents were new to the appraisal profession, while only 6.3% said they had 26-plus years to go before retirement.
But it appears all of this might be about to change.
The number of individuals who sat for the first time for one of the three National Uniform Licensing and Certification Exams last year increased significantly, with the number of Millennial test takers spiking 200%.
According to The Appraisal Foundation, 588 Millennials sat for one of the three exams last year, up from 194 in 2017.
In total, 1,459 individuals sat for either the Certified General, Certified Residential and Licensed Residential appraisal exam last year, marking a 23% increase from the year before. This is the highest number of test takers since more stringent criteria was put into place in 2015, The Appraisal Foundation said.
“While the appraisal profession is often viewed as a second career choice, these numbers demonstrate that young people also view the profession as an early career choice,” said Vice President of Appraisal Services John Brenan. “New people entering any profession are its life blood, but it is especially heartening to know that the appraisal profession is reaching a new generation, which reflects extremely well on the continued growth of the profession.”