If you’re going under contract this fall, you’ve probably heard that appraisals change on November 2. Some of what’s going around makes it sound like every deal in the country is about to get harder. That isn’t what’s happening. But a few things really do change for buyers, and it helps to know which ones before your appraisal shows up in your inbox.
Quick background: the industry is moving to a new appraisal format called UAD 3.6. I covered the basics in August, and I also wrote a guide for sellers on what to hand the appraiser. This one is for buyers.
The November 2 deadline covers conventional loans sold to Fannie Mae and Freddie Mac. That’s most buyers, but not all of them.
So “everyone” is a stretch. On an FHA, VA or USDA loan, your appraisal may arrive in the old format for a while longer. Either format is fine.
This is the one that surprises people. The deadline follows the date the appraiser submits the report, not the date you signed the contract or the day the appraiser walked through the house. A house appraised October 29 and submitted November 3 has to be in the new format.
An old-format report submitted before November 2 can still be revised afterward. What can’t happen is an old-format report going in for the first time after the deadline. It gets rejected.
What that means for you: if your appraisal is ordered in the last two weeks of October, I’ll confirm which format the appraiser is using, so nothing has to be redone.
The old report gave you one square footage number. The new one retires that term and splits the house into four figures: finished area above grade, finished area below grade, unfinished area above grade and unfinished area below grade.
Here’s where Capital Region buyers can get thrown. The listing says 1,900 square feet. Your appraisal says 1,520 finished above grade and 380 finished below grade. Nothing went wrong. The listing counted the finished basement in its total. The appraisal lists it separately, because the market values basement space differently than main-floor living space.
The same goes for the older Capes and Colonials all over our area with sloped ceilings upstairs. Appraisers measure to a national standard, and low space under the roofline may not count as finished area. The listing number and the appraisal number have never matched perfectly. The new report just makes the difference easier to see.
The old report leaned on a paragraph of appraiser comments. The new one uses specific fields for condition, quality, updates, energy features like solar and heat pumps, and extras like accessory units and in-law suites. The layout adapts to the property, so a condo report looks different from a two-family report.
For you, that means a more specific description of the house you’re buying. Read it. If the condition notes flag something your home inspection didn’t, that’s worth a conversation before closing.
How the value is set. Comparable sales, condition, location and the market still drive the number. A new form doesn’t make a house appraise higher or lower.
Your right to a copy. You get a free copy of every appraisal on your loan at least three business days before closing.
Your options on a low value. If the number comes in short, we can still request a reconsideration of value with better comparable sales, you can renegotiate with the seller, or you can cover the gap. Same playbook as before.
Appraisers, lenders and underwriters are all learning the new format at the same time. Most reports will come through on normal timelines. Some won’t, especially in the first few weeks of November.
If you’re writing an offer now for a November or December closing:
For most buyers, November 2 changes what the appraisal looks like, not whether you get the house. Watch three things: the submission date if your appraisal is ordered in late October, the four square footage numbers when you read the report, and a few extra days on the calendar.
Under contract this fall, or about to be? Send me your contract dates and I’ll tell you if anything in the timeline is tight.
Ask Brian a question →No. UAD 3.6 changes how the appraisal report is organized, not how value is set. Comparable sales, condition, location and the market still determine the number.
Not yet. The November 2, 2026 mandate covers conventional loans sold to Fannie Mae and Freddie Mac. FHA has begun accepting the new format but hasn’t set a required date, and VA and USDA haven’t announced timelines.
The new report retires the term gross living area and lists four separate figures: finished and unfinished area, above and below grade. A finished basement that the listing counted in its total shows up separately on the appraisal. Nothing is wrong. It’s just reported differently.
Usually not. The deadline follows the date the report is submitted, not the inspection date. An old-format report submitted before November 2 can still be revised afterward. One submitted for the first time after November 2 has to be in the new format.
Brian Marchand · Sr. Loan Consultant, New American Funding · NMLS #481563
Works with buyers and homeowners across Albany, NY, the Capital Region and New York State. Licensed in New York State. New American Funding, NMLS #6606 · 18 Computer Dr E, Suite 103, Albany, NY 12205.