URAR: Expect The Unexpected

The mortgage industry is preparing for a significant transformation in residential appraisal reporting with the rollout of the Uniform Appraisal Dataset (UAD) 3.6 and redesigned Uniform Residential Appraisal Report (URAR). This initiative, led by Fannie Mae and Freddie Mac (the GSEs) with alignment from the FHA, replaces multiple legacy forms with a single, dynamic, data‑driven URAR that adapts to all one‑ to four‑unit property types and valuation approaches, including traditional, hybrid, desktop, and exterior‑only assignments. 

The transition began September 8, 2025, with a Limited Production Period for approved lenders, allowing early submission of UAD 3.6 reports. Broad production opens January 26, 2026, when all lenders may submit the new format alongside the legacy UAD 2.6. UAD 3.6 becomes mandatory for all new GSE appraisal submissions on November 2, 2026, and UAD 2.6 will fully retire in May 2027. 

Key changes include the elimination of individual form numbers, expanded and standardized field sets, updated condition and quality definitions, and enhanced data structures that improve automation, quality control, and interoperability with loan origination systems. Lenders must ensure technology readiness, update systems to support UAD 3.6, and adjust quality control processes accordingly. FHA’s adoption is expected to begin in spring 2026, extending the new format beyond GSE‑conforming business.

National Mortgage Professional had the opportunity to chat with Dan Figurski, MBA, AI-RRS, chief appraiser at SingleSource Property Solutions, about these changes and their impact on the industry. During his 13-year appraisal career, Figurski was the former director of quality control at Nationwide Appraisal Network and former chief appraiser of American Advisors Group. Prior to his appraisal career, his employers included Cotality (formerly CoreLogic), US Bank, and BMO Capital Markets, helping expand his experience in the real estate, banking, and finance arenas.

NMP: Are there any unexpected changes that may surprise originators?
Figurski: One change in the redesigned URAR that might catch originators by surprise is how clearly property issues will be highlighted in the new reports.

In the past, if there was a concern with a property — say a safety hazard, a structural problem, or evidence of water damage — you’d have to really dig through the report to find it. On the new reports, those issues will be front and center at the beginning of the report. Originators will know very quickly whether there are problems that could influence the transaction or collateral risk.

NMP: What are the repercussions for those who are unprepared for implementation?
Figurski: The redesigned URAR will create a lot of efficiencies for lenders, originators, and servicers, but it’s a complete overhaul of how appraisal information has been delivered in the past. The structure looks different, the way information is presented is different, and there are more details and data fields than before. Companies that aren’t updating their workflows, training their teams, or working closely with their partners to prepare for these changes will struggle to keep pace.

On the other hand, those that are putting in effort now will be in a strong position to benefit.

NMP: What should mortgage brokers expect from the updated reports?
Figurski: Besides looking different from what brokers are used to, the redesigned URAR is built to be modern and much more intuitive. This means brokers can expect key details to surface earlier and more clearly, without having to comb through addenda or long narratives. They’ll also notice that sections that don’t pertain to the property will no longer populate on the report.

The new URAR uses a dynamic format that adjusts based on the type of property being appraised and the assignment, so only the relevant fields and sections will populate.

For brokers, these changes have practical benefits. They’ll be able to work more efficiently with clients and answer questions with greater confidence, since the most important information is presented more clearly. In an environment where timing is critical, that’s a big advantage.

NMP: What are some of the striking changes that you feel will be well received?
Figurski: One change I think will stand out is the addition of a summary page right at the beginning of the redesigned URAR that provides readers a quick snapshot about the property value and the main points supporting it. This is something I used to include with each of my reports, because I knew how valuable it was for the reader to have this information upfront. But with most reports, you often had to jump between different sections or read through pages of detail to find the main takeaways. The new summary page eliminates that back-and-forth.

Another major improvement is how the data in the new URAR will provide far better insights into a property’s condition, features, and marketability than the legacy allowed. This should give originators, lenders, and servicers greater confidence that the report tells the full story of the property.

NMP: What other benefits are there?
Figurski: A major benefit is time savings. The redesigned URAR is meant to make the appraisal easier to understand, which means lenders and brokers will be able to analyze reports more quickly and make faster decisions, which will shorten the time it takes to move a loan from application to closing. Borrowers will find it easier to review reports, too. Basically, it’s a win for everyone involved.

NMP: What other positive features have you learned about?
Figurski: Something I thought was interesting was that the new report allows appraisers to confirm whether a property has broadband internet access. Considering how heavily our society relies on the internet — whether for streaming movies, working from home, running home security systems, or even supporting smart appliances — a strong internet connection is almost as important as having electricity or running water. By formally including it in the appraisal, the redesigned URAR acknowledges how central connectivity has become to both property value and livability.

When you step back and look at all of these improvements, it’s clear the redesigned URAR is about creating reports that are more relevant, more accurate, and more reflective of the way we live today.