The 87th Texas Legislature passed House Bill 2533 which allows Texas appraisers to complete evaluations without complying with the Uniform Standards of Professional Appraisal Practice (USPAP).  Prior to this change, Chapter 1103 of the Occupations Code required appraisers licensed or certified in Texas to comply with USPAP when performing an evaluation of real property.  

This change in statute became effective on June 15, 2021, and applies to evaluations related to real property transactions commenced on or after this date. Evaluations performed for transactions commenced prior to June 15, 2021, are subject to prior law and must be done in compliance with USPAP.   

Appraisers performing evaluations not in accordance with USPAP authorized by the change in law must include the following notice on the first page of an evaluation report: “This is not an appraisal performed in accordance with the Uniform Standards of Professional Appraisal Practice.”   

Evaluations may be used in a variety of federally related transactions, including, residential real estate transactions with transaction values less than $400,000 and commercial real estate transactions with transaction values less than $500,000.    

This bill does not change requirements for appraisal services.  Individuals performing appraisals must be licensed or certified by the Board and must still comply with USPAP.