Newz: 3 Basic Requirements for UAD 3.6 Appraisal Reports, Good Facebook Page – UAD 3.6 Software
July 31, 2026
What’s in This Newsletter (In Order, Scroll Down)
- LIA AD: Limiting Liability to Third Parties
- The 3 Basic Requirements for Real Property Appraisal Reports (Updated for UAD 3.6) By Kevin Hecht
- Bay Area’s wildest house lists at $899K and just hit the market for the first time
- Am I Being Paranoid, or Is There Another Reason? By Richard Hagar, SRA – GSE data
- MY AD: Residential appraisal forms from the 1960s to today
- The Appraisal Fee Lawsuit AMCs Can’t Outrun
- DATE CORRECTION ON CONFERENCES in last week’s email
- Excellent Facebook Page for UAD 3.6 Software
- MBA STATS: Mortgage applications decreased 6.4 percent from one week earlier
The 3 Basic Requirements for Real Property Appraisal Reports (Updated for UAD 3.6) By Kevin Hecht, SRA
Excerpts: As a real property appraiser, you rely on appraisal reports to communicate your opinion of value. One of the most important principles in USPAP is also one of the most misunderstood: forms are not reports.
Filling out a form properly and completely does not automatically mean your report is USPAP-compliant. The content of the appraisal report, not its form or format, determines compliance.
That distinction has never mattered more than it does right now.
The static forms appraisers have relied on for decades, including the 1004, 1073, 1025, and 2055, are being retired and replaced by a single, dynamic, data-driven reporting structure.
This shift does not change the three foundational requirements of USPAP Standards Rule 2-1. But it does change how you meet them. Understanding that distinction is critical to your compliance and your credibility in the new reporting environment.
TOPICS
What Are the Three Basic Requirements for an Appraisal Report?
Standards Rule 2-1(a): Clearly, Accurately, and Not Misleading
SR 2-1(a) builds on the ETHICS RULE requirement that your appraisal reports must not be misleading. You satisfy this requirement by making sure you “clearly and accurately set forth the appraisal.”
As the saying goes, you must tell the truth, the whole truth, and nothing but the truth.
Under the legacy form-based system, appraisers added context and explanation through a free-form General Addendum, which provided flexibility when a standard data field did not fully capture the nuances of a particular property or assignment.
Under UAD 3.6, that flexibility is now built directly into the report structure itself through section-specific commentary fields, which keeps all relevant analysis organized and immediately accessible to reviewers.
Standards Rule 2-1(b): Sufficient Information for Intended Users
What changes under UAD 3.6 is where and how you provide that sufficient information
Standards Rule 2-1(c): Disclosing Assumptions, Extraordinary Assumptions, Hypothetical Conditions, and Limiting Conditions
How UAD 3.6 Supports USPAP Compliance
Preparing for UAD 3.6: Practical Steps for Appraisers
To read more, Click Here
My comments: Comprehensive, well written and worth reading.
