09/23/2026
āØ New Appraisal Changes: What Buyers & Sellers Need to Know.
The appraisal system is getting a major upgrade with the new UAD 3.5/3.6 reporting standard, designed to create a more detailed, accurate, and transparent appraisal report. While the valuation process itself doesnāt change, the way appraisers collect, measure, and report data becomes far more precise.
š” How It Affects Sellers
ā¢ More detailed property reporting: Features like ADUs, solar panels, broadband availability, and finished vs. unfinished areas now have dedicated fields. This means your homeās unique features are documented more clearly.
ā¢ Stricter measurement standards: Basements and belowāgrade areas are separated from aboveāgrade living space, which may affect how square footage is represented.
ā¢ Preparation matters more: Sellers should expect appraisers to request additional details, photos, or documentation making accurate listing information essential.
š How It Affects Buyers
ā¢ More structured, transparent reports: Buyers will receive clearer breakdowns of a homeās condition, quality, and features helping them make more informed decisions.
ā¢ Possible longer timelines: Appraisers are adapting to new software and expanded data requirements, which may extend appraisal turn times from 7 days to 10ā14+ days during the transition.
ā¢ No change in valuation method: Market value is still determined by comparable sales and market conditions ā only the reporting format changes, not how value is calculated.
š The Bottom Line
The new UAD 3.5 system brings greater accuracy, consistency, and transparency to the appraisal process. Sellers benefit from clearer representation of their homeās features, while buyers gain more confidence through detailed reporting. As the industry transitions, expect slightly longer timelines but ultimately, a smoother, more modern appraisal experience for everyone involved.
