Changes in the appraisal industry matter to you, your agents, and your clients.
On September 2, Texas REALTORS® hosted the webinar How UAD 3.6 Impacts Your Agents & Your Business. Here are five takeaways to bring you up to speed.
What’s happening?
Appraisers have started using a new appraisal report based on the new Uniform Appraisal Dataset 3.6. This new report is more readable, easier to understand, and now a single document—no more addenda. Appraisers are adopting the new report and dataset ahead of a November 2 deadline.
Will this take longer for appraisers to complete?
The first few reports might take more time to complete, but it won’t take much longer than the old reports by the appraiser’s fourth or fifth time using the new system, says Fannie Mae Senior Manager Ken DeFeo.
Will this impact the closing?
In the short term, setting expectations up front and building in a little extra time for closing is a good idea, says Jason Ault, Certified Residential Appraiser with Ault Appraisal Services. However, he wouldn’t push out closing dates too far. Thirty to 45 days is common and up to 60 days in complex transactions.
How does this affect me and my agents?
You and your agents may need to talk with the appraiser more to help the appraiser fill out the new report, says Candy Cooke, Certified General Appraiser with Real Property Counselors. It’s a good idea to include accurate, detailed data in your MLS listings, because future appraisers will be relying on that.
What should clients know about the new report?
Clients may appreciate the redesigned report. It features:
A new summary page with key information
A detailed list of defects, damage, and deficiencies
Comp data including properties analyzed but not used
Photos alongside the features they’re depicting
Abbreviations have been replaced by full words and descriptions
More context about the location (now called site influence) and neighborhood (now called market).