Change is no longer coming; it’s officially underway: both Fannie Mae and Freddie Mac have released significant updates to their selling guides. These updates confirm the transition to UAD 3.6, which is a major overhaul to appraisal reporting that impacts how data is collected, submitted, and reviewed.
If you’re a residential appraiser working with government-sponsored entity (GSE) loans, this is one of the most important developments you’ll see this decade.
Fannie Mae’s June Selling Guide update introduces the policy supplement for UAD 3.6, setting the stage for what appraisers can expect in both the short- and long-term. Freddie Mac followed shortly after with Bulletin 2025-7, aligning with Fannie Mae’s timeline while adding some specifics of their own.
What Makes UAD 3.6 Different?
UAD 3.6 moves away from static appraisal forms toward a single dynamic Uniform Residential Appraisal Report (URAR). This redesigned report will apply to all property types and valuation methods.
The new dataset structure significantly expands on what we’re using today, offering greater consistency and flexibility across appraisal types. Appraisers will need to adjust to new terminology, more granular data fields, and a structure built to integrate with modern tech tools used by lenders and reviewers.
Both agencies will allow limited use of UAD 3.6 during a “Limited Production Period” that starts Sept. 8, 2025. Once we hit Jan. 26, 2026, lenders can choose to submit using either UAD 2.6 or 3.6. But starting Nov. 2, 2026, it’s all-in—UAD 3.6 becomes mandatory for all new submissions to the Uniform Collateral Data Portal (UCDP).
What about the older formats?
The announcements also made it clear that this isn’t just about changing the format. It’s about retiring the forms we’ve used for decades. As of Nov. 2, 2026, the forms we are familiar with, including 70, 1004, 1073, 2055, 465, 442, and all their hybrid and exterior-only variations, will be gone for good.
These will be replaced by a dynamic URAR framework that adapts based on property type and intended use.
Fannie Mae’s supplement provides detailed information on how appraisal content will evolve. We’ll see alignment with ANSI Z765-2021 for measurement standards, clearer distinctions in quality and condition ratings, and expanded guidance for reporting complex property features, including leaseholds, ADUs, disaster mitigation, solar panel ownership, and mixed-use analysis.
The expectations for describing the highest and best use, market influences, and reconciliation are more defined and will require a more narrative-driven and evidence-supported approach.
Freddie Mac has similarly updated its Guide to reflect these changes. They now include:
- Refined definitions and labels
- Updated condition and quality rating standards
- New UCDP submission requirements for Restricted Appraisal Update Reports and Completion Reports
- More formalized expectations for measured square footage
Their bulletin also includes broader seller guidance unrelated to appraisal, but worth noting for context, like updates to document custody, data security, and automated employment verification.
Frequently Asked Questions about UAD 3.6 and the New URAR
When does UAD 3.6 become mandatory?
UAD 3.6 entered Broad Production on January 26, 2026, meaning all lenders may now submit UAD 3.6 reports, if ready. The full mandatory deadline is November 2, 2026, after which all appraisals for loans sold to Fannie Mae or Freddie Mac must use UAD 3.6. During the current transition, both legacy (UAD 2.6) and UAD 3.6 reports are accepted. Your client should specify which version applies to each assignment.
Will there still be an addendum page?
Yes, but not in the traditional format. Addenda will still exist, but their role has fundamentally changed as the new URAR is designed to minimize addendum dependency.
Nearly all of the commentary that previously appeared in addenda will now be integrated directly into specific sections of the report.
Examples include:
- Adjustment support
- Property condition commentary
- Market analysis discussion
The goal is to organize analysis within the appropriate sections of the report rather than relying heavily on long addenda.
Is there a way to check if my UAD 3.6 report is compliant before submission?
Yes. Both GSEs created a UAD Compliance API that appraisers can access through their appraisal software. It checks your report for data completeness, validity, and reasonableness before submission.
Note: the API checks data compliance only — it does not include Collateral Underwriter (CU) scores, risk flags, or value-related messages. Check with your software provider to confirm this feature is enabled.
Where do I find field-by-field guidance when completing the new URAR?
Your primary reference is Appendix F-1: URAR Reference Guide, available on both GSE websites. The three appendices you’ll use most are:
- C-1 – URAR Layout (all possible report fields)
- D-1 – Sample Scenarios and XML files
- F-1 – Field-by-field guidance on how to enter data
Both Fannie Mae (https://singlefamily.fanniemae.com/delivering/uniform-mortgage-data-program/uniform-appraisal-dataset) and Freddie Mac (https://sf.freddiemac.com/tools-learning/uniform-mortgage-data-program/uad) publish these appendices. Bookmark both sites and check regularly — guidance is updated periodically.
Pro Tip: The GSEs have also published a joint UAD Inspection and Reporting Tips document (released Oct. 2025) that highlights the most notable differences between legacy UAD 2.6 and UAD 3.6 for use as a field job aid. Download it from either GSE’s UAD webpage.
How do I know what type of inspection is required for a UAD 3.6 assignment?
This is one of the biggest workflow changes. Under the legacy system, the form told you the inspection type (e.g., 2055 = exterior only). Under UAD 3.6, the client specifies the property inspection level in the engagement letter.
For example, you will be requested to complete a(n):
- Traditional-full interior and exterior inspection of a two-unit property
- Exterior-only inspection of an attached, single-family property
- Desktop (no physical inspection) of a detached, single-family property
- Hybrid appraisal (third-party data collector completes inspection) of an attached, single-family property
Will inspections require collecting more data?
Some additional data elements are reported in the new URAR, but many reflect information experienced appraisers already observe during typical inspections.
Examples of some newly structured data elements include:
- Front door elevation
- Energy-efficient features
- Disaster mitigation features
- Kitchen and bathroom update status
- Broadband availability
- Ceiling height categories
- Component-level condition status (interior vs exterior)
The biggest change is shifting from narrative descriptions to selecting from standardized fields and enumerations.
Have the Quality and Condition rating scales changed?
The Q1–Q6 and C1–C6 rating scales have not changed, but the definitions were rewritten to make distinctions between ratings clearer and reduce subjectivity. Additionally, UAD 3.6 adds separate interior and exterior Condition and Quality ratings, which is new.
This allows you to flag significant differences between a property’s interior and exterior condition — something the legacy forms couldn’t accommodate well.
Can Condition and Quality ratings be applied to manufactured homes?
Yes. UAD 3.6 applies Condition and Quality ratings to all residential property types, including manufactured homes. This is a change from UAD 2.6, which did not apply these ratings to manufactured housing.
Do we now need to comment on every adjustment?
The expectation to support adjustments remains consistent with existing appraisal standards.
The new URAR provides specific areas where adjustment explanations and analysis can be documented, helping appraisers organize their reasoning more clearly.
However, there is no requirement to explain every adjustment individually if adequate analysis is provided.
Will the sales comparison grid still exist?
Yes. The sales comparison grid remains a central component of residential appraisal reporting.
In the new URAR:
- The grid is dynamically generated
- Rows appear based on whether they are always required, applicable, or relevant
- Additional rows may be added when needed to describe property characteristics that affect value
This allows the grid to adapt to different property types and assignments.
How should appraisers prepare now?
Appraisers can begin preparing by:
- Taking training courses on the new URAR and UAD 3.6
- Reviewing the URAR Reference Guide
- Becoming familiar with new reporting fields
- Evaluating inspection workflows
- Staying in contact with their software providers
Expect a learning curve as the industry transitions to the new reporting format.
The Takeaway for Real Estate Appraisers
The bottom line is this: UAD 3.6 is more than a format change. It represents a full rethinking of how appraisal information is structured, reviewed, and relied upon. This shift is designed to support a modern lending environment where consistent, verifiable, and granular property data is critical to risk management.
As appraisers, now is the time to prepare. Familiarize yourself with UAD 3.6. Review the policy supplements from both GSEs. Understand what’s changing in the way you report condition, adjustments, and comparable data.
The tools we’ve used for years are being replaced with a system that demands more precision and gives us a chance to demonstrate even greater analytical value.
Prepare for the New UAD with McKissock
At McKissock Learning, we’re here to support you every step of the way. To help you stay ahead of the transition to UAD 3.6 and the new URAR, we’ve developed several courses tailored to what appraisers need to know right now:
- The Appraiser’s Guide to the New URAR (7 hours)
- Scope of Work and the New URAR (4 hours)
- Sales Comparison Approach and the New URAR (3 hours)
- UAD 3.6: Inspection Workflow Wizardry (5 hours)
Whether you’re preparing for the limited production period or just starting to explore what’s changing, our appraisal continuing education courses are built to help you make the transition with confidence.
Now available! Get comprehensive UAD 3.6 and URAR training and prove your readiness to lenders and clients with McKissock’s URAR Mastery Certification Program.
