The appraisal report is getting its most significant update in more than 30 years. On November 2, 2026, Fannie Mae and Freddie Mac’s Uniform Appraisal Dataset (UAD) 3.6 goes into effect, replacing static forms with a data-driven format that adapts to every residential property type and requires far more detail about each home.
At our recent webinar, “Appraisals Are Changing: What UAD 3.6 Means for Your Business,” appraiser Maureen Sweeney and Margaret Hicks of MRED walked through the new form, what it means for REALTORS® and how agents can help keep appraisals on track during the transition. Here are the key insights from the session.
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UAD 3.6 Brings a New Appraisal Report Format
Sweeney walked through what the new report looks like in practice. The current forms are static documents designed for a typewriter, and the format has stayed largely the same since the 1990s. The new UAD 3.6 report is dynamic and data-driven, with sections and fields that adapt to the characteristics of the property being appraised. This means a condo, a two-unit building and a home with an ADU each trigger the sections and data fields specific to that property type.
Every report will now open with a summary page that puts the essentials up front: the opinion of value, effective date, loan purpose, contract price, listing status, construction type, association details and any defects, damage or deficiencies. Lenders and agents no longer have to dig through six pages to find the value. Terminology is also standardized nationally. A Chicago two-flat, for example, will be reported as a two-unit property. The report is machine-readable as well, which supports smoother underwriting.
The biggest shift in the new form is the level of detail. Appraisers now report information room by room and level by level, including ceiling heights and flooring. Kitchens and bathrooms get their own detailed descriptions, rated by update status and condition. Defects, damage and deficiencies must be photographed and documented, and some lenders will ask for an estimated repair cost. The form also adds a section for accessibility features. On square footage, finished and unfinished area above and below grade must now be reported separately. For applicable properties, square footage is calculated using the ANSI Z765-2021 standard, which Fannie Mae already required for many appraisals before UAD 3.6.
Condo, co-op and planned unit developments (PUD) reports go deeper, too. Appraisers will document reserve funding, delinquent assessments, single-entity ownership, commercial space, special assessments and pending litigation. These details carry real weight. Fannie Mae’s reserve requirements will rise from 10% to 15% after January 4, 2027.
Through all of these changes, the method for determining value remains the same. UAD 3.6 transforms how appraisers document and report their findings.
What to Expect During the Transition
Although November 2nd marks the official implementation date for this form, lenders that are not yet prepared can apply to Fannie Mae or Freddie Mac for an extension. As a result, the transition will be gradual, with some lenders requiring UAD 3.6 while others continue to accept the current forms.
REALTORS® should plan for longer appraisals. The expanded data requirements mean appraisers may spend more time on site measuring rooms and ceiling heights, recording the elevation of the front door and photographing every room, feature and area of damage. Turnaround times are likely to increase during the adjustment period.
On the MLS side, MRED is developing new tools to support the transition. Hicks explained that the MLS convened a focus group of appraisers and agents, then followed up with an in-depth appraiser survey to identify the data the new form requires. Drawing on that feedback, MRED is building an Excel export that will allow appraisers to download the listing fields they need, with a goal of launching before the November start date. Hicks described the export as a living tool that will evolve with ongoing feedback.
REALTORS® Play a Key Role in a Smooth Appraisal
REALTORS® and appraisers serve distinct roles in every transaction. REALTORS® advocate for their clients, while appraisers are bound by law to remain independent, impartial and objective. Sweeney emphasized that the two professions are most effective as allies, and under UAD 3.6, the information agents provide becomes even more valuable. Agents can share relevant property details and comparable sales without attempting to improperly influence the valuation. Providing that information early will help keep transactions moving smoothly. Sweeney recommended the following steps:
- Meet the appraiser at the property. Being present protects your client’s home and allows you to answer questions in real time, an advantage a lockbox code cannot offer.
- Send information by email ahead of the appointment. Written communication creates a dated record of what was shared and when.
- Provide the most recent contract, signed by both buyer and seller. The lender’s copy may not reflect amendments made after it was submitted.
- Share your pricing rationale. Outline how you define the market area, the sales and listings used to set the list price and any additional comparables worth considering.
- Document recent improvements. Include kitchen, bath and other major updates from the past 10 years, along with their estimated costs.
- Assemble legal documentation. Have the legal description, PINs, plat of survey and any condo, co-op or PUD documents ready to share.
Thorough MLS listings are equally important. Sweeney urged agents to report square footage in MRED broken out by finished and unfinished area above and below grade, which mirrors how appraisers must now report it. Incomplete listings force appraisers to track down the listing agent for missing details, slowing the process for everyone. Complete listings will also feed directly into MRED’s new export, giving appraisers immediate access to accurate data.
For condo listings, preparation should begin before the property is listed. Reserve funding, delinquency rates and single-entity ownership can determine whether a buyer qualifies for conventional financing. Sweeney recommended including the owner in any information request to the management company. Because associations are accountable to their owners, managers are far more likely to respond when the owner grants written permission.
Additional Tips from NAR
In their recent article, Appraisal Ready: What Agents and Brokers Can Do Now for UAD 3.6, NAR provided the following tips to prepare for the new form:
- Prepare your clients for the possibility of a longer property visit, and allow reasonable time for the entire appraisal process. Remember that delivery of the appraisal report is not the end of the process. AMC and lender reviews, underwriting and the lender’s submission through UCDP to Fannie Mae or Freddie Mac still follow. Those reviews may also result in requests for clarification or revision.
- Encourage borrowers to talk with their lenders about appraisal and loan processing timelines and, as Nov. 2 approaches, which appraisal report format is being ordered. Remember, lenders can order UAD 3.6 reports now.
- Provide specific property information rather than general descriptions. Preserve meaningful information when your listings close. Consider providing an appraisal packet containing factual information about the subject and relevant transactions.
- When an appraiser contacts you about one of your previous sales, return the call when you can. Another consumer’s transaction may depend on information only you have.
Additional Resources
- Margaret Hicks’ Presentation
- NAR’s Appraisal & Valuation Hub
- NAR’s Supporting Your Value Webinar Series
- The Appraiser’s Role Isn’t to Kill Your Deal by Maureen Sweeney in REALTOR® Magazine
- IDFPR Division of Real Estate
- IDFPR Real Estate Brokerage Page
- IDFPR Real Estate Appraisal Page
- Search for A Licensed Illinois Appraiser