As a result of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), each state's regulatory board that oversees appraiser licenses must

This choice is incorrect because FIRREA specifically establishes distinct regulatory structures for appraisers and real estate licensees. Permitting real estate licensees to perform appraisals without a separate licensing process would undermine the integrity and professionalism required in appraisals.

This option is incorrect as FIRREA emphasizes the necessity for separation between the boards. Combining the two would create potential conflicts of interest and dilute the specialized training and standards required for appraisers, which FIRREA seeks to uphold.

This choice is also incorrect because FIRREA mandates appraisals to ensure that property valuations are accurate and protect lenders and consumers. Appraisals are a critical component of the loan application process, serving to assess the value of the property being financed.