Appraiser Advisories | Division of Real Estate

Practical Guidance Advisory on Board Rule 5.1: Appraiser Experience Requirements

The Board of Real Estate Appraisers held a rulemaking hearing on March 3, 2022, and adopted a change to Board Rule 5.1 concerning the real estate appraisal experience requirements. The revised rule will be effective April 30, 2022.

What is an Appraisal Gap on a Home Purchase?

An appraisal gap is the difference that occurs when a buyer's offer is higher than the actual appraised value of the property (which is usually the amount the bank will loan for the home) that they are contracting to purchase. It is an issue that is currently being experienced in the hot and highly competitive Colorado real estate market and experienced by buyers where there are many more prospective purchasers than inventory that is available for sale, and where bidding wars and other aggressive purchase offer tactics are being used.