Hawaii real estate appraisal management companies are now required to obtain a $25,000 surety bond with the passage of House Bill 50. The surety bond requirement is included in legislation that was passed to comply with the AMC Final Rule. All real estate appraisal management companies in Hawaii will need to obtain a surety bond by January 1, 2018, to become registered or to maintain their registration in the state. Once the bond is obtained, it must be submitted with the rest of the application materials to the Department of Commerce and Consumer Affairs – Professional & Vocational Licensing.
How much does an appraisal management company surety bond cost?
The actual cost an appraisal management company will pay for a surety bond is typically a small percentage of the bond amount. For highly qualified applicants, the premium needed to issue the bond may be as little as 1-3%. Less qualified applicants will pay slightly more, but even their premiums rarely exceed 8-10% of the total bond amount. These costs will vary between applicants and are determined on a case-by-case basis by an underwriter who will take factors like credit score and previous experience into account when determining an appropriate premium required to issue the bond.
What other costs are associated with becoming a Hawaii real estate appraisal management company?
There are some additional fees associated with registration as an appraisal management company in Hawaii. First time applicants must pay a nonrefundable application fee of $60. Those renewing applications will be required to pay a biennial registration fee of $4,200 and a biennial compliance resolution fund fee of $500. Additionally, the registrant must pay a $300 special assessment fee upon issuance of a new registration and at each renewal period.
Need to get your Hawaii AMC bond?
Our experts are ready to help you through the process of getting a Hawaii real estate appraisal management bond. We know that the process can be daunting, so we promise to make your bonding experience fast and easy! After all, time is money. Click below for your free personalized quote or give us a call at 1 (800) 308-4358.