UAD 3.6 brings detailed appraisal data and expands reuse rights

UAD 3.6, implemented Monday, changes how appraisers report property details by requiring selection of specific data points from dropdown menus instead of text descriptions, increasing detail in reports submitted to Fannie Mae and Freddie Mac, HousingWire reported.

A key part of UAD 3.6 is Certification 25, which expands rights for lenders, government-sponsored entities (GSEs), secondary market participants, and data services to reuse appraisal data, including interior photos and property details, without needing further consent from appraisers.

Certification 25 allows these entities to store, copy, reproduce, analyze, use, and distribute all data from appraisal reports for internal or external purposes beyond the original mortgage finance transaction, with appraisers bearing no liability for downstream uses.

Appraisers have expressed concerns about data privacy and potential misuse of sensitive information, such as interior photos of private spaces, which could be leaked or shared without homeowner consent, as noted by appraiser Desiree Mehbod in social media and blog posts.

The new standards reflect a tension between increasing data transparency and privacy concerns in real estate appraisal, with stakeholders watching how these changes affect relationships between appraisers, brokerages, and homeowners.