PAREA FAQs

The Appraisal Institute Practical Applications of Real Estate Appraisal (AI PAREA) is an alternative to the traditional supervisor and trainee requirement for experience for the Licensed Residential Real Property Appraiser (LR) and Certified Residential Real Property Appraiser (CR) credentials. It’s an online program providing simulations that show participants how to apply appraisal theory and methodology to real-world examples, with mentoring and guidance from appraisers who hold the most recognized designations in the profession and have a combined 150 years of experience.

With the help of an assigned mentor, you will appraise properties in a simulated environment, applying what you learned from your qualifying or pre-licensing education to real-life situations. You’ll meet regularly with your assigned mentor for support and guidance as you work through 10 practice assignments and other immersive activities.

You’ll finish the program by completing three graded USPAP-compliant appraisal reports on your own.  

Ready to get started? The first step is to complete your Readiness Checklist.

One of the benefits of AI PAREA is that you can complete the program modules at your own pace, with required mentor check-ins. We anticipate most participants will finish the program within 18 months, including 12 months for the practice assignments and immersive activities, and six months for the three final assignments. 

1. Education Hours: Before enrolling in AI PAREA, complete a readiness checklist to make sure you meet the minimum education requirements set by the Appraisal Qualifications Board (AQB). Our team will help you verify your qualifying education credits to ensure you’re eligible.  
2. Experience: AI PAREA fulfills the AQB experience requirement in many states. Check if it fulfills the requirement in your state! 
3. Examination: Once you meet the education and experience requirements, all that’s left is to pass the appropriate National Uniform Licensing and Certification Examination to become either a Licensed Residential Real Property Appraiser (LR) or Certified Residential Real Property Appraiser (CR). We have resources to help you prepare, including our practice exam course.

Check if your state accepts AI PAREA.

If your state does not accept AI PAREA:

The Appraisal Qualifications Board specifies that as a PAREA provider, AI must ensure our program is accepted in the state in which you plan to be credentialed before we can accept you into our program.

Before starting a PAREA program, you should check with your state regulatory board or authority to make sure the PAREA program experience will be accepted and determine if there are any additional requirements in your state. For example, some states may require additional state-specific education and/or that qualifying education be completed less than five years before applying for a license.

Until your state accepts PAREA, you will not be eligible to enroll. 

Reciprocity as an Alternative

Some states that do not accept PAREA will issue licensed residential and certified residential credentials if those credentials were earned in other states (this is called “reciprocity”). If you live in a state that doesn’t accept PAREA as an experience alternative, you may be able to obtain credentials in a different state from which reciprocity is accepted. 

Be sure to verify with your state regulatory board or authority before enrolling in PAREA.

You can register for AI PAREA when your Readiness Checklist has been verified.

No, but if you join AI as a Practicing Affiliate, you’ll get a discounted rate for the program, along with many other timely benefits. So why not join? Learn more about joining AI. 

AI PAREA for AI Professionals: $3,995

• 12 payments of $332.92 with monthly installment plan
• 4 payments of $998.75 with quarterly installment plan

AI PAREA for Non-Members: $4,425

• 12 payments of $368.75 with monthly installment plan
• 4 payments of $1,106.25 with quarterly installment plan

AI Professionals save $430 off the program fee.
Join AI to receive the AI Professional Rate

Our team is here to ensure that financial constraints don’t prevent you from achieving your goals.

Monthly or quarterly payment plans are also available. And remember: Practicing Affiliates receive a discounted rate for the program. Join AI.

You also may qualify for a scholarship! Learn more about the AIERF PAREA Scholarship.

There are multiple scholarships opportunities that can apply to AI PAREA. 

• The Appraisal Institute Education Relief Fund (AIERF) offers a PAREA Scholarship. Learn more.
• The Appraisal Foundation is developing scholarships for PAREA.

Yes, all appropriate qualifying education needs to be completed before you can enroll. Here are the requirements for the Licensed Residential and Certified Residential tracks:

Licensed Residential (150 hours total of QE courses or approved university equivalents):

• Basic Appraisal Principles (30 hours)
• Basic Appraisal Procedures (30 hours)
• 15-Hour National USPAP Course (15 hours)
• Residential Market Analysis and Highest & Best Use (15 hours)
• Residential Site Valuation and Cost Approach (15 hours)
• Residential Sales Comparison and Income Approaches (30 hours)
• Residential Report Writing and Case Studies (15 hours)

The Appraisal Institute also offers online education packages to fulfill these requirements.

Certified Residential (200 hours total of QE courses or approved university equivalents):

The required hours are the same as Licensed Residential (LR) above, but with three additional course requirements:

• Real Estate Finance, Statistics, and Valuation Modeling (15 hours)
• Advanced Residential Applications and Case Studies
• Appraisal Subject Matter Electives (20 hours)

To enroll in the Certified Residential track, you must also already have:

• A valid Licensed Residential (LR) credential; or
• Successful completion of a PAREA program for Licensed Residential (LR) 

No. You are eligible to enroll in AI PAREA regardless of your qualifying education provider.

AI provides best-in-class education! Consider fulfilling your qualifying education prerequisite with us

No. Qualifying education completions, regardless of when they were completed, will meet the program requirements for enrolling in AI PAREA.

However, qualifying education must be less than five years old for licensing purposes in most states.

Don’t worry! We’ll assign you an experienced mentor to assist you throughout the program.

Though AI PAREA does not specifically include in-person interaction, by participating in the program, you get access to various in-person events through local AI chapters around the country, connecting you with a vast network of appraisers with tremendous knowledge and experience. 

Your assigned mentor is there to help guide you to the next step in your career, as well as complete the AI PAREA program. Use your regular meetings to lean on their support and expertise in achieving your goals. As a program participant, you’ll also have access to AI's vast network of local chapters, which is an invaluable springboard for career growth. 

AI PAREA practice assignments use properties throughout the country. You’ll complete assignments from multiple geographic areas. As a program participant, you also gain access to AI Chapter events, connecting you with local appraisers with knowledge of local markets and properties. 

Yes, but any hours you complete as a trainee cannot be applied to AI PAREA. Unlike the traditional experience model, which is based on the accumulation of hours, AI PAREA is proficiency-based. 

If you’ve already started the program but can’t finish it, you can cancel out within 10 days and receive a 100% refund of the entire registration fee with no cancellation fee. 

After 10 days, the refund amount is based on the amount of material completed in the program, minus a $150 cancellation fee. AI PAREA program assignments that have not been completed can be refunded 100%. Program assignments that have been completed will not be refunded.

If you cancel your program and then decide to enroll again later, you will need to pay a new full registration fee and start the program over from the beginning.

To cancel your program, contact AI: send a message online or 312-335-4493. 

Your mentor will be there to support and help you work through the program to complete it within the 18-month timeline. 

Though we believe this timeline is sufficient, we understand that unforeseen circumstances can occur. 

An extension may be possible for unusual situations and must be requested before the expiration of the 18-month access window. Please contact AI PAREA or call 312-335-4493 with any questions. 

Yes! You can resubmit each of the three final assignments twice. 

No. AI PAREA fulfills the AQB experience requirement. It is not an education offering.

No. AI PAREA assignments and activities can’t be applied toward designation requirements.  

The Appraiser Diversity Initiative (ADI) is the premier nationwide program designed to attract new entrants to the real estate appraisal field while fostering diversity in the profession. ADI’s core partners include Appraisal Institute, Fannie Mae, Freddie Mac, and the National Urban League. 

The ADI program provides opportunities to aspiring appraisers and exposes new appraisers to the AI Body of Knowledge and the profession’s best education.

Learn more about the Appraiser Diversity Initiative. 

Participants successfully completing an AI PAREA program will receive the following experience credit:

For participants completing the Licensed Residential AI PAREA program:

• Licensed Residential classification: up to 100% of the required experience hours.
• Certified Residential classification: up to 67% of the required experience hours.
• Certified General classification: up to 33% of the total required experience, none of which is eligible towards the required non-residential hours.

For participants completing the Certified Residential AI PAREA program:

• Licensed Residential classification: up to 100% of the required experience hours.
• Certified Residential classification: up to 100% of the required experience hours.
• Certified General classification: up to 50% of the total required experience, none of which is eligible towards the required non-residential hours.

To enroll in the Certified Residential AI PAREA program, you must already have:

• A valid Licensed Residential (LR) credential; or
• Successful completion of a PAREA program for Licensed Residential (LR). By completing the Licensed Residential AI PAREA program, you also receive 67% of the required experience toward the Certified Residential credential.

Participants who complete a PAREA program for the LR credential earn 67% experience credit for the CR credential. It’s up to each state to decide if the remaining 33% can be earned through the traditional supervisor-trainee experience model to fully satisfy the CR experience requirement. 

Some states will require the completion of CR PAREA if LR PAREA was previously completed. Those states will not allow a combination of LR PAREA + 33% traditional experience to satisfy the CR experience requirement. 

You should check with your state regulatory board or authority to determine their requirements. 

For the best experience, here are minimum hardware requirements:

Windows:  

• Processor: Intel i3 (5th Gen) 
• RAM: 8 GB 
• Graphics: Onboard Intel Graphics 
• Platform: Windows 10 / 11 

Mac:  

• MacBook Air (2018) Processor: Intel i5 
• RAM: 8 GB 
• Graphics: Onboard Intel Graphics 
• Note: The appraisal form software included with AI PAREA enrollment is for PC Windows only.  It will run on a Mac using a Windows emulator such as Parallels Desktop. 

Minimum Bandwidth Requirement: 

• 25 Mbps for download 
• 3 Mbps for upload  

You’ll be given access to appraisal form software and a subscription to a Multiple Listing Service (MLS) as part of the AI PAREA program. 

Program materials will be provided in Microsoft Excel (XLSx), Microsoft Word (DOCx), Adobe Reader (PDF), graphics (JPG/PNG), audio (MP3/WAV), and video (MP4) formats. You will be required to have the appropriate software capable of accessing and viewing the program material files.

Any other materials needed to complete the program will be electronically available during the program. 

Yes, your progress through the practice assignments is tracked locally on your computer. This means you must start and finish AI PAREA on the same computer. If you switch computers or browsers during the program, or clear your browsing history/cache, you may have to click through to repeat some previous material.

Yes, but we recommend you use a personal computer. Although you can access AI PAREA on your mobile device through any mobile browser, you will be viewing and completing various assignments using appraisal forms and spreadsheets that are much better suited to a computer.  

Please send a message online or call (312) 335-4493 if you have any questions or comments about the AI PAREA program.