The mortgage industry is on the cusp of a major transformation. For the first time in nearly 20 years, the Uniform Residential Appraisal Report (URAR) is being completely redesigned. This change is part of the broader Uniform Appraisal Dataset (UAD) 3.6 update, aimed at streamlining and modernizing the appraisal process across all property types. At Enact, we’re committed to helping our partners stay informed and prepared for what’s ahead.
What's changing with the URAR form?
The new URAR form consolidates multiple property types into a single, dynamic format. Whether the subject is a single-family home, condo, or multi-unit property, the form adapts to the property being appraised. While much of the familiar data remains, the layout is evolving to include new fields that enhance risk visibility, valuation clarity, and data consistency.
Key additions to the URAR Form
Additional properties analyzed but not used
A new table allows appraisers to list properties considered but not selected as comparables. This preemptively addresses valuation concerns and supports transparency in the selection process.
This is a material improvement. It helps lenders and MI reviewers understand the rationale behind comparable selection and omission, reducing the need for revision requests and improving confidence in the report.
Timeline for appraisal form rollout
The rollout of the new URAR form is phased to allow for industry adaptation:
- Limited Production: Begins September 8, 2025
- Broad Production: Starts January 26, 2026
- Mandatory Use: Effective November 2, 2026
What this means for lenders
The URAR update is more than a form change, it’s a step toward a smarter, more transparent appraisal process. For lenders, this means:
- Improved clarity in appraisal rationale
- Fewer revision requests
- Better alignment with automated valuation models (AVMs)
- Enhanced risk visibility, especially in flood-prone areas
We at Enact are already preparing for this transition. For Non-Delegated and Contract Services loans, the new URAR will trigger system reviews, with clear messaging when manual underwriting is required. This ensures that underwriting decisions remain fast, accurate, and compliant.
The impact on borrowers
Borrowers may not see the URAR directly, but they’ll feel its effects. With more consistent and detailed appraisals, lenders can make better-informed decisions, reducing the risk of delays or surprises during underwriting. The inclusion of desktop appraisals and waivers—when applicable—can also speed up the process and reduce costs.
In high-risk areas, such as flood zones, borrowers may see more detailed reporting, which could influence insurance requirements or loan terms. However, most of these changes are designed to enhance transparency, not complicate the process.
How to stay prepared
- Train Your Teams: Ensure underwriters and processors understand the new fields and their implications. Enact will be offering training sessions starting in September, followed by deeper dives in October. These sessions will cover everything from interpreting the new fields to understanding how the URAR integrates with appraisal software.
- Update Your Systems: Confirm your LOS and underwriting platforms are ready to accept and process the new URAR format. Enact’s GENie platform is already being updated to support this transition.
- Engage with Appraisers: Encourage appraisers to use the new “Additional Properties Analyzed” section to proactively address valuation concerns. This will reduce the need for post-submission revisions and improve report clarity.
- Leverage Enact's Expertise: Our system has been redesigned to align with the new URAR, offering automated triage and risk messaging that helps underwriters make confident decisions faster.
- Stay Informed: Watch for updates from the GSEs (Freddie Mac and Fannie Mae) and FHFA, especially around credit scoring and appraisal modernization. Enact will continue to share insights through Discover360℠ and other channels.
More ways we can help at Enact
The URAR update is a foundational shift in how appraisals are conducted and reviewed. It reflects the industry’s move toward greater transparency, data consistency, and modernization. At Enact, we’re here to support you every step of the way—with insights, tools, and expertise to help you navigate the evolving appraisal landscape. We offer underwriting services, training resources, and more.
Whether you’re preparing your teams, updating your systems, or educating your borrowers, staying proactive will ensure a smooth transition. Let’s embrace this change together and continue delivering exceptional service to our customers.
Want to learn more?
Explore our upcoming training courses or reach out to your Enact representative today.
👉 Join us on September 9, 2025 at 12PM EST for our upcoming webinar on the URAR form update: An Introduction to the New Appraisal Report (URAR) Webinar. Register today!
Source: Dave Foster is a Senior Real Estate Appraiser at Enact Mortgage Insurance.
The statements in this article are solely the opinions of Dave Foster and do not necessarily reflect the views of Enact or its management.
Never miss a post by subscribing to Enact MI's Discover360℠ Blog! We’ll send you our most up-to-date topics right into your inbox.
