UAD 3.6 is Appraisal’s Turning Point. Don’t Sleep on It.
Ashlee Randall is Senior vice president of product development and strategy at Class Valuation, Troy, Mich.
I’ve been in the valuation space long enough to know fundamental transformation doesn’t come often, but when it does, it changes everything. That’s precisely what the Uniform Appraisal Dataset (UAD) 3.6 is poised to do.
This isn’t just an update. It’s the most sweeping shift to the appraisal reporting process we’ve seen in over 30 years. For lenders, appraisers, appraisal management companies, and our partners across the mortgage ecosystem, it means greater consistency in how appraisal reports tell the property’s story, more structured data for analysis, and opportunities to drive real efficiency — if we prepare correctly.
Let me explain what’s changing, what to expect, and how we’re preparing our clients and appraisers for what’s next.
Goodbye Forms. Hello Flexibility
For decades, we’ve used numeric form numbers like 1004/70 or 1073/465 to define the property type and extent of inspection, but with UAD 3.6 we’re leaving that behind. The engagement process will change as the form number won’t be available. The redesigned Uniform Residential Appraisal Report allows all property and inspection types. The government-sponsored enterprises have not created a particular specification for ordering an appraisal report, so you may see things during the engagement process like the property type (SFR, Condo) with the level of inspection: Traditional (interior/exterior) or Desktop (no inspection).
That change alone reduces friction in the ordering process. You won’t need to know the exact form that applies — just the core details of the property and the assignment. The URAR adapts dynamically, improving clarity for everyone involved, including borrowers.
This isn’t hypothetical. The GSEs said in their official guidance that “the data that describes the subject property drives the appraisal report, not a form type/number.”
Structured Data Means Smarter Decisions
Here’s where it gets exciting: The data payload in these new reports is dramatically more powerful.The appraisal ZIP file itself is getting an upgrade: Along with the familiar PDF and XML, it now packages every property photo, exhibit, and related metadata. Having the full visual and data record in one place speeds up reviews and reduces back-and-forth requests for missing items.
The redesigned Submission Summary Report is available separately in PDF and machine-readable JSON. The structured JSON lets rules-based QC tools or an underwriter’s desktop instantly surface discrepancies and risk messages.
Implementation Timeline: What You Need to Know
Here’s what’s ahead, based on the GSEs’ official roadmap:
– Sept. 8, 2025 – Jan. 25, 2026: Limited Production Period
– Jan. 26 – Nov. 1, 2026: Broad Production Period
– Nov. 2, 2026: UAD 3.6 becomes mandatory for new appraisal report orders
– May 2027: UAD 2.6 pipeline retirement- the forms will no longer be supported
A Learning Curve That’s Worthwhile
Yes, this shift requires effort. Lenders will need to revisit their ordering systems, file storage capacities (these ZIP files are much larger), and even how their teams interact with appraisal reports. But the potential benefits — higher quality, clearer insights, faster closings — are worth it.
We’re training our appraiser panels and conducting mock inspections with our staff appraisers to prepare for the enhanced data capture these new appraisal reports require. We expect fewer revision requests, faster turnarounds, and, ultimately, more satisfied lenders and borrowers alike.
Innovation and the Role of AI
One of UAD 3.6’s biggest benefits is the foundation it creates for more scalable innovation.
For example, with structured photo-tagging and comprehensive data, we can better leverage AI to detect inconsistencies and flag potential issues that human appraisers might miss. AI won’t replace appraisers but will supplement their reviews and allow lenders to underwrite more efficiently.
We’re already testing these capabilities, and I believe UAD 3.6 will mark a “before and after” moment in valuation modernization.
What You Should be Doing Now
If you’re a lender and haven’t started preparing, now is the time. Here’s where I recommend beginning:
– Review the GSE Lender Readiness Kit and watch their recent webinar focused on helping lenders prepare (visit the Freddie Mac and Fannie Mae UAD webpages)
– Talk to your AMC, LOS, order management systems, and any other integration partners about system compatibility and readiness
– Begin planning for ZIP file ingestion and storage
– Consider internal training for teams on the new appraisal report format
Class Valuation is upgrading its platform to support the legacy 2.6 files and the forthcoming UAD 3.6 format, so lenders won’t have to choose between today’s requirements and tomorrow’s opportunities. By staying tightly aligned with the GSEs’ published guidance and engaging in industry modernization forums, we’re turning what could feel like a short-term hurdle into a lasting competitive edge. The decisions lenders make now will set the pace for their transition, and we’re committed to guiding them through every step with clarity, confidence, and a shared commitment to better borrower experiences — because the only thing riskier than change is standing still.
(Views expressed in this article do not necessarily reflect policies of the Mortgage Bankers Association, nor do they connote an MBA endorsement of a specific company, product or service. MBA NewsLink welcomes submissions from member firms. Inquiries can be sent to Editor Michael Tucker or Editorial Manager Anneliese Mahoney.)
