SECTION 1. Section 173 of chapter 112 of the General Laws, as appearing in the 2020 Official Edition, is hereby amended by inserting after the definition of “Certified appraisal or certifies appraisal report”, the following new definition:-

“Evaluation”, means an estimate of the value of real property, made in accordance with the interagency Appraisal and Evaluation Guidelines provided to an entity regulated by a federal financial institution’s regulatory agency, for use in a real estate-related financial transaction for which an appraisal is not required by federal law.

SECTION 2.  Subdivision A of Section 174 of Chapter 112 of the General Laws, as so appearing, is hereby amended by striking out the second sentence and inserting in place thereof the following sentence:- Except to the extent permitted under subdivisions B and C, a person who has not obtained a real estate appraisal license or certification under this chapter shall not prepare, for a fee or other consideration, an appraisal or appraisal report relating to real estate or real property in the Commonwealth.

SECTION 3. Said Section 174 of said Chapter 112, as so appearing, is hereby further amended by striking out subdivision C, and inserting in place thereof the following new subdivision:-

C. The provisions of sections 173 to 199, inclusive, shall not apply to a person engaged by a financial institution to perform an evaluation of real property.  When providing an evaluation, a licensed or certified real estate appraiser is not required to comply with the Uniform Standards of Professional Appraisal Practice.  An evaluation by a Massachusetts licensed or certified real estate appraiser under this subdivision must contain a disclosure that the evaluation is not an appraisal and may not comply with the Uniform Standards of Professional Appraisal Practice.