This bill establishes strict penalties for appraisers who engage in discriminatory practices during real estate appraisals, specifically targeting discrimination based on race, color, religion, sex, sexual orientation, gender identity, age, marital status, disability, familial status, or national origin. If a licensed appraiser is found to have discriminated, the appraisal will be deemed void, and the appraiser may face various consequences depending on the number of violations. For a first violation, the appraiser must make restitution, attend an anti-bias seminar, and may incur a civil penalty of up to $10,000. A second violation results in a suspension of the appraiser's license and similar penalties, while a third violation leads to revocation of the license and further restitution. The bill also outlines a structured process for reporting and investigating allegations of discriminatory appraisals.

Additionally, the bill mandates that licensed real estate brokers and mortgage brokers provide specific information to both present and prospective owners or occupants regarding their rights to report suspected discriminatory appraisals. This information must be provided within three days of initial interactions or mortgage loan applications. The Division on Civil Rights is tasked with collecting demographic information from complainants regarding allegations of discrimination and must report this data to the Governor and Legislature by July 1, 2026. Overall, the bill aims to enhance accountability in real estate appraisals and ensure that individuals are informed of their rights against discrimination.