The short answer: Starting November 2, 2026, appraisals for loans sold to Fannie Mae and Freddie Mac move to a new report called the Uniform Residential Appraisal Report (URAR), built on a dataset called UAD 3.6. For Park City owners and buyers, the biggest practical changes are how square footage is measured (walkout and lower levels especially), separate interior and exterior condition and quality ratings, more structured reporting of views, itemized defects with photos, and a closer look at condo project amenities.
Most Park City purchases close in cash, and many financed purchases here use jumbo or portfolio loans that never touch Fannie or Freddie. So why should you care?
Because the standard reshapes how appraisers measure and describe homes across the board. I regularly recommend that my cash buyers order an appraisal as part of due diligence, and almost every lender requires one when a buyer finances. Either way, the report you'll be reading in 2027 is likely to look and read differently from the one you saw a year ago.
What UAD 3.6 is, and when it takes effect
UAD stands for Uniform Appraisal Dataset, the standardized data format appraisers use when reports are delivered to Fannie Mae and Freddie Mac through the Uniform Collateral Data Portal. Version 3.6 is the first major rewrite in more than a decade.
The old system relied on a stack of separate fixed forms (the 1004 for single-family, the 1073 for condos, the 2055 exterior-only, and others). The new URAR replaces them with one dynamic report that expands or contracts based on the property and the type of assignment. Long narrative addenda give way to structured data fields, with commentary and photos placed right next to the data they explain.
Date | What happens |
|---|---|
Jan 26, 2026 | Broad production opened; any lender could voluntarily order UAD 3.6 reports |
Sept 30, 2026 | Fannie Mae and Freddie Mac announced a one-time policy exception for lenders that aren't ready |
Nov 2, 2026 | UAD 3.6 mandatory for new appraisal reports submitted for GSE loans |
Mar 1, 2027 | Legacy reports submitted under an exception lose some automated underwriting functionality |
May 19, 2027 | Last day for new legacy (UAD 2.6) reports under an approved exception |
May 20, 2027 | UAD 3.6 required for all new GSE submissions, no exceptions |
The September 30 exception matters for timing. Depending on which lender a buyer uses, an appraisal ordered this winter could arrive in either the old or the new format. The deadline is tied to when the report is submitted to the portal, not when the loan application was taken, so transactions straddling November 2 deserve a quick check with the lender.
FHA, VA and USDA have said they intend to adopt the new format but follow their own timelines.
Why this matters in Park City, even when you pay cash
Park City is not a typical conforming-loan market. A large share of our purchases close in cash, and financed luxury purchases in places like Deer Valley, Empire Pass and Promontory usually run through jumbo, portfolio or specialty loans rather than Fannie Mae or Freddie Mac. Strictly speaking, UAD 3.6 is required only for appraisals on loans delivered to those two agencies.
That doesn't make it irrelevant here, for three reasons:
- Appraisers change how they work, not just which form they fill out. Once an appraiser is trained to measure and describe homes under the new standard, those habits carry into jumbo reports and private, non-lender appraisals.
- Many jumbo and portfolio lenders are likely to follow. Some lenders and appraisal management companies will keep the legacy format for non-agency loans for now, but others are standardizing on the new one. Ask your lender which format it will order.
- Conforming loans still matter in parts of our market. Buyers in Pinebrook, Jeremy Ranch and Summit Park, Heber, Kamas and many condos often use conventional financing, which falls squarely under the new rules.
Why I recommend an appraisal to cash buyers. When you pay cash, nobody requires an appraisal. I still often suggest one as a due-diligence item. An independent, licensed appraiser gives you a second, unbiased read on value, measured square footage and condition before your due-diligence deadline passes. In a market where a single price per square foot comparison can mislead, that's inexpensive protection on a seven- or eight-figure purchase. If you're financing, your lender will almost always order one anyway. See our guides on jumbo loan preparation and asset-depletion loans for more.
Six changes Park City owners and buyers will notice
1. Square footage: walkout levels and hillside homes
This is the change most likely to surprise Park City owners. Under the measurement standard built into the new report (ANSI Z765-2021), any level that is partly or fully below grade is reported as below-grade area, even if it has a walkout, big windows and ski-room access. The old term "gross living area" is retired in favor of "above-grade finished area" and "below-grade finished area."
Fannie Mae and Freddie Mac began requiring ANSI measurement in 2022, but UAD 3.6 hard-wires it into the report: separate fields for finished above-grade, finished below-grade, nonstandard finished below-grade and unfinished below-grade space, plus a labeled floor-plan sketch. Staircases count toward the floor they descend from, and totals are reported to the whole square foot.
What this means for you:
- Hillside homes in Deer Valley, Deer Crest, Old Town and Pinebrook often have a daylight or walkout lower level. The appraised above-grade number may be well below the total square footage you see in the MLS, county records or a builder's brochure.
- That doesn't automatically mean a lower value. Appraisers still value finished lower-level space; it's just reported and adjusted as its own line. But it can change how comparable sales line up and how price per square foot looks.
- Expect some square footage mismatches between the appraisal, the listing and Summit or Wasatch County records. Treat a mismatch as a question to ask, not a red flag.
2. Separate interior and exterior condition and quality ratings
The familiar C1–C6 condition and Q1–Q6 quality scales remain, but the new report rates the interior and exterior separately before reconciling an overall rating. Condition can also be reported room by room, including flooring, appliances and updates. The old "not updated / updated / remodeled" labels are gone.
For a Park City home with a tired exterior and a freshly renovated interior (or the reverse after a hard winter), this gives a more honest picture. It also means deferred exterior maintenance is harder to blur into an overall average. Quality ratings are absolute, not relative to the neighborhood, so a Q2 home is a Q2 home whether it sits in Kamas or The Colony.
3. Views are reported in a more structured way
Views drive value here. The new dataset captures the primary view along with its range, such as full, partial or seasonal. A ski-run view through aspens that disappears in summer, or a partial Jordanelle view from one deck, can now be described in standardized terms rather than a single checkbox. Expect appraisers to photograph and support view adjustments more carefully.
4. Defects, damage and deficiencies are itemized with photos
The new report captures physical defects in dedicated tables tied to specific photos, alongside the condition ratings. Photos sit inside the relevant section instead of a pile at the back. Things like roof wear, ice-dam damage, failing decks, water intrusion in a lower level or an aging boiler are more likely to be spelled out individually.
For financed buyers, an itemized defect can lead to an appraisal made "subject to" repairs, which affects your timeline. For sellers, it's one more reason to handle visible maintenance before listing. See our guide to preparing a home for four-season buyers.
5. Condos: the condition of project amenities is rated
The new report adds data fields for the condition of a condo project's common amenities, separate from the unit itself. That matters in Canyons Village, lower Deer Valley and resort condo buildings with pools, spas, gyms, ski lockers and shuttles. A well-kept unit in a building with tired common areas may now read differently to an underwriter. This sits on top of separate condo project eligibility reviews lenders already perform. For condo-hotels specifically, see financing condotels near Canyons and Deer Valley.
6. ADUs, energy features and disaster mitigation get their own fields
The new standard adds structured guidance for accessory dwelling units, solar panel ownership, energy-efficiency features and certifications like HERS ratings, and disaster mitigation. In the Wasatch Back that last item connects directly to wildfire. If you've invested in defensible space, ember-resistant vents or fire-rated roofing, keep documentation ready for the appraiser. Our article on HB 48 and WUI rules in the Wasatch Back covers the local context. Leased versus owned solar panels should also be clearly documented, since they are treated differently.
What to do now
If you're buying:
- Ask your lender early which report format it will order, and when. For loans in process around November 2, confirm it won't trigger a reorder or delay.
- If you're paying cash, consider an independent appraisal inside your due-diligence period. Engage the appraiser yourself so you are the client and the report is written for your use.
- Compare the appraiser's measured above-grade and below-grade square footage against the MLS and county figures. Ask about any meaningful gap before your deadline.
- Read the defect tables and photos alongside your home inspection. The two documents answer different questions, and you want both.
- For condos, review HOA reserve studies and recent assessments; the new report will put project amenity condition on paper. Our closing costs guide for resort purchases covers related costs.
If you own or plan to sell:
- Gather documentation an appraiser can't see from a walkthrough: permits, renovation dates and costs, energy certifications, solar ownership papers, and wildfire-mitigation work.
- Know your own floor plan. If you have an as-built plan or a professional ANSI measurement, have it available, especially for homes with walkout lower levels.
- Address visible exterior and maintenance items before listing, since they're now more likely to be itemized individually.
- Expect fewer surprises if your listing's square footage is clearly labeled by level. A complimentary home valuation is a good place to start, along with our guide to selling your home.
A property tax side note: Appraisals and assessments are different things, and a lender's appraisal isn't automatically evidence for an appeal. But a well-documented independent appraisal close to January 1 can be a useful data point if your Summit or Wasatch County valuation looks high. Learn more about how Summit County valuations work and our property tax appeal services.
A word on appraiser independence
Appraisers must be independent. Federal rules prohibit anyone with an interest in the transaction, including agents, buyers and sellers, from pressuring or coercing an appraiser toward a particular value. As your agent, I can provide factual information such as recent comparable sales, upgrades and measured floor plans through the appropriate channel. If a lender's appraisal seems to contain a factual error, the correct path is the lender's formal reconsideration-of-value process, not direct pressure on the appraiser.
I'm a real estate advisor, not an appraiser, lender or attorney. Nothing here is a valuation of any specific property or lending advice. Requirements vary by lender and loan program, so confirm the details with your loan officer and a licensed Utah appraiser.
Talk it through
If you're buying or selling in Park City this winter and want to plan around appraisal timing, square footage or due-diligence strategy, schedule a buyer consultation or contact me directly. You can also browse Park City homes for sale.
Wayne Levinson, REALTOR®, ABR®, RENE · Engel & Völkers Park City · 890 Main Street, Suite 5-101, Park City, UT 84060 · 435-777-7878
Frequently asked questions
When does UAD 3.6 take effect? November 2, 2026, for new appraisal reports on loans delivered to Fannie Mae and Freddie Mac. Lenders with an approved one-time exception can keep submitting legacy reports until May 19, 2027. UAD 3.6 is mandatory for everyone on May 20, 2027.
Does UAD 3.6 apply if I'm paying cash in Park City? Not directly. A private appraisal you order for due diligence isn't delivered to Fannie or Freddie, so the appraiser may use a different report format. The measurement standards and reporting habits behind UAD 3.6 tend to carry over, though.
Does UAD 3.6 apply to jumbo loans? It's only mandatory for loans sold to Fannie Mae and Freddie Mac. Jumbo and portfolio lenders set their own requirements; some will adopt the new format and others will keep the legacy one for now. Ask your lender.
Will my walkout basement still count as square footage? It counts as finished area, but if any part of that level is below grade it's reported as below-grade finished area rather than above-grade. Appraisers still value it; it's simply reported and compared on its own line.
Will UAD 3.6 lower my home's appraised value? The new standard changes how information is reported, not what the market will pay. Some homes may look different on paper, especially hillside homes with lower levels, but value still comes from comparable sales and the appraiser's analysis.
Should a cash buyer get an appraisal? Often, yes. An independent appraisal ordered during your due-diligence period gives you an unbiased read on value, square footage and condition before you're committed. Discuss the timing with your agent so it fits within your contract deadlines.
Can my agent talk to the appraiser? An agent can provide factual information such as comparable sales, upgrades and floor plans through appropriate channels, but cannot pressure or influence an appraiser's opinion of value. Disputes go through the lender's reconsideration-of-value process.
