Appraisal Institute Update for the Fourth Quarter of 2023
Chicago, IL, January 17, 2024 – The Appraisal Institute, the leading association of real estate appraisers, released an update describing the main areas of activity for the three months ended December 31, 2023.
The fourth quarter of fiscal 2023 brought the development and implementation of the first phases of a reorganization plan led by new Chief Executive Cindy Chance, PhD.
Key fourth quarter developments in the turnaround of the Appraisal Institute included:
- Reorganizing into business and service/support units aligned to add value for Appraisal Institute members and chapters.
- Membership & Chapter Relations
- Education & Publications
- Stakeholder Engagement
- Service & Support
- Setting operating and financial goals for new business units to improve accountability.
- Identifying and remediating a $1.2 million operating deficit for FY 24
- Implementing efficiency improvements and cost cutting to reach breakeven by year end 2024 while investing in technology and process improvements in member and chapter services, educational offerings, and management reporting and communications
- Eliminating 15% of staff positions representing almost $2 million in annual savings, and establishing new roles and performance management standards
- Establishing priorities for rebuilding the neglected Appraisal Institute technological infrastructure and gaining approval for funding of the process
- Overhauling reporting procedures to provide accurate reporting and budgeting
- Implementing efficiency improvements and cost cutting to reach breakeven by year end 2024 while investing in technology and process improvements in member and chapter services, educational offerings, and management reporting and communications
- Reviewing and re-focusing Appraisal Institute communications and advocacy, including planning to remediate major issues with the web site and branding
- Developing and beginning to deliver “Appraiser-Centric” messaging
- Refining the framework for the Appraiser Diversity Initiative, AI PAREA and the Appraisal Institute’s university relations initiative to more efficiently, effectively and transparently attract and recruit a diverse new generation of appraisers.
- Begin in the first quarter of 2024 to highlight these three initiatives as the Appraisal Institute’s core commitment to revitalize the profession with the next generation of diverse appraisers
- Report measurable progress – and challenges – on a regular basis
- Begin in the first quarter of 2024 to highlight these three initiatives as the Appraisal Institute’s core commitment to revitalize the profession with the next generation of diverse appraisers
"The last quarter presented several challenges, some unexpected, and difficult, but necessary decisions. The major developments of the last quarter demonstrate the Appraisal Institute’s commitment to change, guided by the interests of its members and chapters. I’m pleased with the progress of the first phases of our re-organization, and grateful for the sincere support I’ve felt from our members, chapters and Board members," said Appraisal Institute CEO Cindy Chance, PhD.
Board President Sandra Adomatis, SRA added, "The urgent need for change is recognized by the Appraisal Institute Board, and while some of what we’ve learned in this process isn’t easy to hear, the only way to overcome challenges and seize opportunities is to meet them head on and report transparently to our members on successes and set-backs. Cindy’s relentless efforts to advance our mission, centered on Appraisal Institute members and chapters, will remain the focus of both internal reporting and stakeholder updates and communications alike in 2024 and onwards."