Fannie Mae just released their Q3 2025 Appraiser Update. One notable update is the announcement that their requirement to inspect comparable sales from the exterior has been discontinued for UAD 3.6 reports. From the update:
“The Scope of Work for the legacy version of the Uniform Residential Appraisal Report (URAR) states “The appraiser must … (3) inspect each of the comparable sales from at least the street …”. The legacy URAR instructions repeat the requirement for the appraiser to drive to and personally view the exterior of the comps with the additional stipulation that photographs of the front of each comparable sale are required exhibits. We have often been asked, in view of the abundance of remote viewing technology available today, why do we still require appraisers to physically visit each comparable? The short (but not very satisfying) answer has been that it is difficult to change the URAR.
The creation of UAD 3.6 has allowed us to revisit this requirement. While we will still require “Clear, descriptive color photographs … of the … front of each comparable” [see Exhibits for the Uniform Residential Appraisal Report section in the Fannie Mae Selling Guide Supplement: Uniform Appraisal Dataset (UAD) 3.6 Policy], for appraisal reports in UAD 3.6 we have retired the requirement to inspect the comparable sales from the street.
Here is what the new Scope of Work for UAD 3.6 says: “The appraiser must, at a minimum: … (2) research, verify, and analyze adequate and reliable data … for each comparable property reported …”. This means appraisers will be at liberty to source the required comparable photos at their own discretion.”
While this is a welcome policy change for appraisers, the exterior photograph requirement will ultimately still depend on the client and whether or not original comp photos are an assignment condition. Always remember to carefully review the engagement letter, scope of work, and any lender-specific assignment conditions for each assignment.
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