George Hatch
Elite Member
- Joined
- Jan 15, 2002
- Professional Status
- Certified General Appraiser
- State
- California
Due to the margins involved, it takes a lot of well-performing loans to offset the losses of the failure of a single loan.
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Poll - How Likely Are You To Retire Before Implementation Of The Uad 3.6 Abomination?
- Thread starter Alsie35
- Start date
HVNY
Sophomore Member
- Joined
- Dec 22, 2023
- Professional Status
- Certified Residential Appraiser
- State
- New York
I was just told by my longest standing local bank client that they are ready for 3.60 when I am. They said that 50% of the appraisers (including me) were waiting until fall, and that 50% are trying to do them but are having software problems. Of course I couldn't get out of him how many they had actually done so I'm assuming zero. I told them that I didn't have time to be a beta tester and that I'd be on board once it actually works.
Alsie35
Elite Member
- Joined
- Sep 14, 2020
- Professional Status
- Certified Residential Appraiser
- State
- Texas
Copilot 7-14-26:
The current fallout from the UAD 3.6 Abomination (as of mid‑July 2026) is a three‑front mess: software instability, capacity collapse, and regulatory pressure stacking on top of the chaos. The industry is not ready, the November 2, 2026 deadline still stands, and every new data point shows deeper systemic strain rather than improvement.
---
1. Software & Workflow Breakdown (still ongoing)
The rollout went “live” for all lenders on January 26, 2026, but the ecosystem never stabilized.
- Software platforms are still catching up — appraisers report clunky interfaces, photo‑insertion problems, and frequent tech‑support calls.
- Mobile data‑collection tools remain unreliable, especially in rural areas where connectivity is weak.
- Only 26% of appraisers feel ready, despite 68% having completed training. This is a massive readiness gap.
- 60% expect to need ongoing technical support, meaning the learning curve is far steeper than Fannie/Freddie anticipated.
Net effect: The software side is not stabilizing. Every month of “live production” is exposing new friction rather than resolving old ones.
---
2. Appraiser Workforce Fallout
This is the most dangerous part of the 3.6 Abomination.
- Industry feedback suggests 10–15% of appraisers may retire rather than adapt to 3.6.
- Many insiders believe the real number could be as high as 25%, especially in rural markets.
- The profession already shrank by 3,000+ appraisers in 2025 due to non‑renewals.
- Rural assignments already show 32% longer turn times, 23% higher fees, and 156% longer travel distances — and that’s before the full 3.6 mandate hits.
Net effect: The workforce is collapsing before the deadline. The Abomination is accelerating a retirement wave that was already underway.
---
3. Lender & AMC Operational Stress
Lenders are quietly panicking.
- Many lenders are reducing the number of appraisals they order at all — 26% of GSE loans closed without appraisals in 2025.
- Rocket Mortgage alone closed 62,116 GSE loans with waivers (19.2% of all appraisals they could have ordered).
- Lenders are shifting aggressively toward hybrid appraisals, waivers, and UPD‑based inspections to avoid 3.6 bottlenecks.
- Rural markets are expected to be hit hardest, with lenders projecting capacity pressure and turn‑time spikes through 2027.
Net effect: Lenders are already behaving as if the traditional appraisal system is collapsing — because it is.
---
4. Regulatory Pressure Is Increasing, Not Decreasing
While the industry struggles, regulators are tightening the screws.
- The 21st Century ROAD to Housing Act passed with overwhelming bipartisan support, modernizing licensing and increasing oversight.
- Texas (your home state) has already forced all license holders into the REALM Portal, digitizing every aspect of licensure and complaint management.
- Fannie and Freddie still maintain the non‑negotiable November 2, 2026 deadline for full UAD 3.6 compliance.
Net effect: Regulators are not slowing down. They are accelerating modernization while the industry is buckling.
---
5. The Real “Fallout” Summary
Here’s the blunt truth:
The 3.6 Abomination is creating a perfect storm:
- Software not ready
- Appraisers not ready
- Lenders scrambling
- Regulators tightening deadlines
- Rural markets already showing stress fractures
- Retirement wave accelerating
- Waiver‑based lending becoming the default workaround
The November 2 deadline is now less than four months away — and every new data point shows increasing dysfunction, not progres
The current fallout from the UAD 3.6 Abomination (as of mid‑July 2026) is a three‑front mess: software instability, capacity collapse, and regulatory pressure stacking on top of the chaos. The industry is not ready, the November 2, 2026 deadline still stands, and every new data point shows deeper systemic strain rather than improvement.
---
1. Software & Workflow Breakdown (still ongoing)
The rollout went “live” for all lenders on January 26, 2026, but the ecosystem never stabilized.
- Software platforms are still catching up — appraisers report clunky interfaces, photo‑insertion problems, and frequent tech‑support calls.
- Mobile data‑collection tools remain unreliable, especially in rural areas where connectivity is weak.
- Only 26% of appraisers feel ready, despite 68% having completed training. This is a massive readiness gap.
- 60% expect to need ongoing technical support, meaning the learning curve is far steeper than Fannie/Freddie anticipated.
Net effect: The software side is not stabilizing. Every month of “live production” is exposing new friction rather than resolving old ones.
---
2. Appraiser Workforce Fallout
This is the most dangerous part of the 3.6 Abomination.
- Industry feedback suggests 10–15% of appraisers may retire rather than adapt to 3.6.
- Many insiders believe the real number could be as high as 25%, especially in rural markets.
- The profession already shrank by 3,000+ appraisers in 2025 due to non‑renewals.
- Rural assignments already show 32% longer turn times, 23% higher fees, and 156% longer travel distances — and that’s before the full 3.6 mandate hits.
Net effect: The workforce is collapsing before the deadline. The Abomination is accelerating a retirement wave that was already underway.
---
3. Lender & AMC Operational StressLenders are quietly panicking.
- Many lenders are reducing the number of appraisals they order at all — 26% of GSE loans closed without appraisals in 2025.
- Rocket Mortgage alone closed 62,116 GSE loans with waivers (19.2% of all appraisals they could have ordered).
- Lenders are shifting aggressively toward hybrid appraisals, waivers, and UPD‑based inspections to avoid 3.6 bottlenecks.
- Rural markets are expected to be hit hardest, with lenders projecting capacity pressure and turn‑time spikes through 2027.
Net effect: Lenders are already behaving as if the traditional appraisal system is collapsing — because it is.
---
4. Regulatory Pressure Is Increasing, Not Decreasing
While the industry struggles, regulators are tightening the screws.
- The 21st Century ROAD to Housing Act passed with overwhelming bipartisan support, modernizing licensing and increasing oversight.
- Texas (your home state) has already forced all license holders into the REALM Portal, digitizing every aspect of licensure and complaint management.
- Fannie and Freddie still maintain the non‑negotiable November 2, 2026 deadline for full UAD 3.6 compliance.
Net effect: Regulators are not slowing down. They are accelerating modernization while the industry is buckling.
---
5. The Real “Fallout” Summary
Here’s the blunt truth:
The 3.6 Abomination is creating a perfect storm:
- Software not ready
- Appraisers not ready
- Lenders scrambling
- Regulators tightening deadlines
- Rural markets already showing stress fractures
- Retirement wave accelerating
- Waiver‑based lending becoming the default workaround
The November 2 deadline is now less than four months away — and every new data point shows increasing dysfunction, not progres
anney
Freshman Member
- Joined
- Feb 25, 2008
- Professional Status
- Certified Residential Appraiser
- State
- Wisconsin
I originally posted this in another forum, but I believe this forum is more appropriate:
I have notified clients I am retiring 12/31/2026. My realtor dues expire at that time. My E&O expire first part of march 2027, my license expires Dec 2027. I will except non 3.6 assignments until 12/31/2026. I have run the math, It does not make any sense to keep business open.
I hate/hated the mandatory update last round. I have reviewed, limited though, 3.6 and I have a H*ll no attitude.
I was Licensed in in 1997,Certified after that. Very good run through 2011 until AMCs came into play. Tried AMCs and made a decision early on, Just Say No. Terrible Fees and extra requirements. I now complete lender direct orders and non lender work. I took a 50% pay cut because of drop in assignments. IMO still worth not having to deal with the endless revision requests... More comps needed....Here are properties to look, please reconsider value...BLah Blah Blah. (Oh by the way our fee to pay is $300 and there is a $25 fee charge to upload. No Thank You...Declined)
Recently received a letter from Fannie Mae, warning me about my language in a report. I used the word DEMOGRAPHICS...How terribly racist of me.
I originally loved my profession. I had no issues telling Mortgage Brokers to pound sand. Then Gov got involved due to a few bad (appraiser) apples. Funny how they seemed to overlook the actual cause of fraud in the industry. Then our world became WOKE. A new set of guidelines for something that for MOST never existed.
To the appraisers staying in, I wish you the best.
I have notified clients I am retiring 12/31/2026. My realtor dues expire at that time. My E&O expire first part of march 2027, my license expires Dec 2027. I will except non 3.6 assignments until 12/31/2026. I have run the math, It does not make any sense to keep business open.
I hate/hated the mandatory update last round. I have reviewed, limited though, 3.6 and I have a H*ll no attitude.
I was Licensed in in 1997,Certified after that. Very good run through 2011 until AMCs came into play. Tried AMCs and made a decision early on, Just Say No. Terrible Fees and extra requirements. I now complete lender direct orders and non lender work. I took a 50% pay cut because of drop in assignments. IMO still worth not having to deal with the endless revision requests... More comps needed....Here are properties to look, please reconsider value...BLah Blah Blah. (Oh by the way our fee to pay is $300 and there is a $25 fee charge to upload. No Thank You...Declined)
Recently received a letter from Fannie Mae, warning me about my language in a report. I used the word DEMOGRAPHICS...How terribly racist of me.
I originally loved my profession. I had no issues telling Mortgage Brokers to pound sand. Then Gov got involved due to a few bad (appraiser) apples. Funny how they seemed to overlook the actual cause of fraud in the industry. Then our world became WOKE. A new set of guidelines for something that for MOST never existed.
To the appraisers staying in, I wish you the best.
nicholz12
Senior Member
- Joined
- Sep 7, 2008
- Professional Status
- Licensed Appraiser
- State
- Massachusetts
I think the same way, I'm retiring this year as well, license expires next year, E&O expires next year. It's not worth it. As you said this used to be a great profession, steadily declined and now with this 3.6 it's just not worth the aggravation. On to better things. ; )
J Grant
Elite Member
- Joined
- Dec 9, 2003
- Professional Status
- Certified Residential Appraiser
- State
- Florida
Please, please let it be your last statement here on the topic.
TerryRohrer
Elite Member
- Joined
- Aug 13, 2005
- Professional Status
- Certified General Appraiser
- State
- Montana
Please, please let it be your last statement here
Bobby Bucks
Elite Member
- Joined
- Jan 27, 2002
- Professional Status
- Real Estate Agent or Broker
- State
- North Dakota
There have been some setbacks and delays, but some of the brightest minds at Fannie & Freddie are working diligently behind the scenes. If they don't meet the November deadline, they have the option of a 3 year extended warranty backed by the federal government. It's taken them 8 years to reach the pinnacle where they now reside. Steve Jobs could never have accomlished what they have,