UAD 3.6 discussion

[Airstream]

Not a bad breakdown of the storm clouds forming around UAD 3.6:

UAD 3.6: The Appraisal Industry’s Shiny New Straightjacket - Appraisers Blogs

UAD 3.6, the appraisal industry's "modern" mess, trades nuance for data bloat, risking valuation integrity with tech traps and a steep curve.

appraisersblogs.com

My guess is the new form is going to take much longer to implement than they say. Software issues, learning curve not only for appraisers but also for banks, reviewers, and underwriters. Then I haven’t talked to a single appraiser that doesn’t say a major fee increase is in the offing. I do agree with the blogger that this is all about collecting information to eliminate the appraiser.

 

[djd09]

1. REALTOR® Magazine Media
2. Real Estate News

Appraisals Will Look Very Different in the Near Future—Are You Ready?​

May 30, 2025
Appraisal & Valuation, Fannie Mae & Freddie Mac (GSEs)
By: Keisha Wilkinson

Although appraisers have long completed forms using web-based platforms, these forms—required for loans conforming to government sponsored enterprise standards—are rigid in structure. Often, there isn’t enough space for the appraiser to provide all relevant information. In that case, the reader sees the dreaded, “See addendum.” At that point, the reader of the report will have to read through sometimes pages of freeform text to find what they are looking for.

The report will also feature much more detail upfront on the interior of the property, allowing appraisers to add descriptive commentary to go along with photos. Condition and quality will be broken out by exterior and interior, with areas for description of interior details.

In addition, UAD 3.6 also has many new discrete datapoints that appraisers must relay—and this highlights the importance of the appraiser-agent relationship. Any relevant information agents can provide upfront will help appraisers complete the appraisal in a timely manner and prevent the need for a return trip the property or other delays.

The UAD 3.6 will bring big change—from the datapoints appraisers are required to provide to the way appraisal results are reported. Appraisal forms for individual property types will be a thing of the past for most appraisals. Some lenders will begin using the new UAD as early as September 2025. Use of the form will be required for all Fannie Mae and Freddie Mac loans as of November 2026.

Appraisals Will Look Very Different in the Near Future—Are You Ready?

Over a 14-month period starting in September, lenders are phasing in new appraisal reporting for all GSE-conforming loans. As appraisers adjust to the new standards, agents will be key partners in ensuring the data is accurate and complete.

www.nar.realtor

turn your head and cough...

 

[gregb]

The new uad is the best news ever for appraisers. If you cannot figure it out, ask me.

 

[J Grant]

The new uad is the best news ever for appraisers. If you cannot figure it out, ask me.

Ok I will ask, why is it the best news?

 

[Digger88]

Definitely designed by the AMC crowd.

What were your search parameters?
Include sales you considered but didn't use.

The sales grid not finishing on one page looks problematic to me. Hopefully, the software vendors such as Total, will still have a side-by-side view of all the comps in the grid. From there I can move the comparables around in order of importance.

No Net and Gross adjustments.

We'll see....

I just leaned CU does this now irt why you didn't use certain comps. If you've ever received an UW stip why didn't you use these comps.. It's because CU ranks the top 20 and if your comps rank low on its list it will trigger a warning. Now apparently, they want 1, 2 or who knows how many to be gridded too

 

[Digger88]

1. REALTOR® Magazine Media
2. Real Estate News

Appraisals Will Look Very Different in the Near Future—Are You Ready?​

May 30, 2025
Appraisal & Valuation, Fannie Mae & Freddie Mac (GSEs)
By: Keisha Wilkinson

Although appraisers have long completed forms using web-based platforms, these forms—required for loans conforming to government sponsored enterprise standards—are rigid in structure. Often, there isn’t enough space for the appraiser to provide all relevant information. In that case, the reader sees the dreaded, “See addendum.” At that point, the reader of the report will have to read through sometimes pages of freeform text to find what they are looking for.

The report will also feature much more detail upfront on the interior of the property, allowing appraisers to add descriptive commentary to go along with photos. Condition and quality will be broken out by exterior and interior, with areas for description of interior details.

In addition, UAD 3.6 also has many new discrete datapoints that appraisers must relay—and this highlights the importance of the appraiser-agent relationship. Any relevant information agents can provide upfront will help appraisers complete the appraisal in a timely manner and prevent the need for a return trip the property or other delays.

The UAD 3.6 will bring big change—from the datapoints appraisers are required to provide to the way appraisal results are reported. Appraisal forms for individual property types will be a thing of the past for most appraisals. Some lenders will begin using the new UAD as early as September 2025. Use of the form will be required for all Fannie Mae and Freddie Mac loans as of November 2026.

Appraisals Will Look Very Different in the Near Future—Are You Ready?

Over a 14-month period starting in September, lenders are phasing in new appraisal reporting for all GSE-conforming loans. As appraisers adjust to the new standards, agents will be key partners in ensuring the data is accurate and complete.

www.nar.realtor

turn your head and cough...

I'd love to see a company put out AI that automatically populates some of this data with info pulled from pics you take during the inspection

 

[Airstream]

The one benefit of the new UAD is getting rid of addendums and having an easy to read place to actually write commentary. I never have enough room when doing more complex properties or if I have to really explain the market conditions. Going away from addendums is helpful. My concern is with all the extra and I will say irrelevant data; such as how high the front step is off the ground or where the furnace is located. Really? How is that relevant? And what MLS is going to include that in the MLS? I was talking to a fellow appraiser who also sells real estate this week. I was doing an appraisal on one of his listings. We were talking about how most agents don’t have any clue to simply measure houses and put appropriate data in the MLS. His listing was great. His GLA actually came out exactly to what mine was. First time in a long time that has happened. We even talked about how assessor data is often wrong, and how difficult it is to verify comparable data. It’s the never ending game of guessing sometimes. The GSE’s want all this data, but why? What are they going to use it for? Because I can say that no appraiser is gong to start making adjustments for much of it.

 

[J Grant]

The one benefit of the new UAD is getting rid of addendums and having an easy to read place to actually write commentary. I never have enough room when doing more complex properties or if I have to really explain the market conditions. Going away from addendums is helpful. My concern is with all the extra and I will say irrelevant data; such as how high the front step is off the ground or where the furnace is located. Really? How is that relevant? And what MLS is going to include that in the MLS? I was talking to a fellow appraiser who also sells real estate this week. I was doing an appraisal on one of his listings. We were talking about how most agents don’t have any clue to simply measure houses and put appropriate data in the MLS. His listing was great. His GLA actually came out exactly to what mine was. First time in a long time that has happened. We even talked about how assessor data is often wrong, and how difficult it is to verify comparable data. It’s the never ending game of guessing sometimes. The GSE’s want all this data, but why? What are they going to use it for? Because I can say that no appraiser is gong to start making adjustments for much of it.

I never had a problem with it and I never heard users or leaders complain about it either! There is unlimited space on the blank addendum page. How hard is it for a reader to turn to that page - a lot easier than hunting down pieces of narrative on various drop-down sections of the new UAD.

For most users, it is an overload of inane information to pick through that they don't care about. For a reviewer, it might provide fodder to find a data discrepancy as a "gotcha," which is a bridge too far. An appraisal is a valuation and what matters are the comp choices, adjustment,s and not making a major material error that affects value.

 

[glenn walker]

The vision is Underwriters won't be reading the report's in traditional fashion. The System is like a IRS Tax Return of Code and the Errors noted will be looked at by the UW and checked as acceptable or one's that require a review by someone else whose been trained.

90% of all the appraisers explanations and non code adenda won't ever be read by a human unless it's a Hard Stop Fail.

The appraisals are quickly moving into nothing more than a Data Dump that either passes, fails or is sent back to the apprasers to fix the 22 fatal error codes.

Outside of Non Lender and Commercial the LPA can have 6th grade reading and writing skills to produce a Click-Go-Send GSE report. The future level of education will be the same as sitting on a widget assembly line in China.

 

[djd09]

that is right...the borg cannot read and understand the jargon yet...appraisers should use the old URAR for independence sake