UAD 3.6 LPP: Why 'Not Testing' is a Critical Distinction for Appraisers

Hi, I'm Daniel Yoder, a residential appraiser. With the Uniform Appraisal Dataset (UAD) 3.6 and Forms Redesign initiative moving forward, one phase that often comes up is the Limited Production Period (LPP). The GSEs have been clear: the LPP, starting September 8, 2025, is not "testing". This distinction is crucial for us appraisers to understand, as it shapes how we should view this period and prepare for the changes ahead, even if we're not directly participating.

What "Not Testing" Truly Signifies

When the GSEs state the Limited Production Period "is not 'testing'," as highlighted in their "Limited Production Readiness Overview for Lenders," they mean it's a chance for early adopter lenders to use the new UAD 3.6 and redesigned Uniform Residential Appraisal Report (URAR) in the actual production environment. This isn't a beta test in a closed-off sandbox where data is hypothetical. The appraisals processed during the LPP are real, impacting real transactions, and the data submitted will be live.

The focus, therefore, shifts from merely identifying software bugs to:* Experiencing the Benefits: Lenders (and by extension, their appraiser partners) get to see the advantages of the new UAD 3.6 and redesigned URAR firsthand.* Providing Critical Feedback: This period is a vital opportunity for the GSEs to receive input based on real-world application before the Broad Production Period.* Early Familiarization: It allows participants to get comfortable with the new system and processes in a supported environment.

You can get a broader overview of this phase in a previous post, Understanding the UAD 3.6 Limited Production Period (LPP), but the "not testing" aspect has specific implications for our readiness.

Why This Matters for Appraiser Preparedness

The "not testing" nature of the LPP underscores the seriousness of this phase. While lenders are the direct participants selected by the GSEs, the appraisers working with these lenders will be integral to the process. Here’s why this distinction is important for all of us:

1. Seriousness of Data: Any appraisal data submitted using UAD 3.6 during the LPP is for live transactions. This demands a high level of accuracy and understanding from the outset.
2. Impact of Feedback: The feedback gathered isn't just technical; it’s about the practicalities of using the new dataset and report format in daily work. This is our chance, through participating lenders, to help refine the system.
3. Operational Readiness is Key: Because it’s a production environment, readiness extends beyond just having compatible software. It involves understanding the new data points and how they translate into the redesigned URAR. As discussed in [Beyond Form Numbers: How UAD 3.6 Data Defines Property Types in the New URAR](https://www.valuemate.ai/blog/beyond-form-numbers-how-uad-36-data-defines-property-types-in-the-new-urar), the way we define and report property characteristics is fundamentally changing.

Appraiser Readiness: Beyond the Technical

Since the LPP isn't a "test" period for debugging software in isolation, our preparation as appraisers must be more holistic:

• Deep Dive into New Data and URAR Structure: We need to be thoroughly familiar with the new data elements required by UAD 3.6 and how the dynamic URAR functions. The "Limited Production Readiness Overview for Lenders" emphasizes that participants will "experience the advantages of the new UAD 3.6 and redesigned URAR." This implies a working knowledge is expected. Resources like the industry training on the Freddie Mac UAD webpage and Fannie Mae UAD webpage are invaluable.
• Workflow Adjustments: Consider how your current appraisal process—from data collection to report finalization—will adapt. The shift to a more data-driven report, as detailed in [UAD 3.6: Understanding the New Dynamic Structure of the URAR](https://www.valuemate.ai/blog/uad-36-understanding-the-new-dynamic-structure-of-the-urar), will inevitably change how we structure and present our findings.
• Understanding Lender Requirements: Even if you're not directly in the LPP, understanding what participating lenders are going through is beneficial. Their readiness, outlined in documents like the "Lender Readiness Kit," involves operational changes and ensuring their vendors and appraisers are ready. This gives us a window into the broader industry preparations. For more on this, see [Why Lender Readiness for UAD 3.6 & Redesigned URAR Matters to Appraisers](www.valuemate.ai/blog/why-lender-readiness-for-uad-36--redesigned-urar-matters-to-appraisers).

The "Lender Readiness Kit" itself points out several areas lenders need to address, such as implementing operational changes, ensuring staff are educated, and conducting workflow testing. Appraisers who are proactive in understanding these shifts will be better positioned.

The Upside of a "Non-Testing" Production Phase

The GSEs' approach offers distinct benefits. For early adopters, the "Limited Production Readiness Overview for Lenders" notes they will "receive hands-on, high-touch support from the government-sponsored enterprises (GSEs) while you transition to UAD 3.6 and URAR with your vendors and appraisers." This direct support in a live environment is invaluable.

For the wider appraiser community, this means the system is being refined based on actual use cases before it becomes mandatory. The feedback from this "non-testing" phase will lead to a more robust and practical system for everyone during the Broad Production Period (scheduled to begin January 26, 2026).

Tools that facilitate structured data collection, like Valuemate, can become particularly helpful in this transition. As the industry moves towards more granular and standardized data, being able to efficiently capture and report property details in alignment with initiatives like UAD 3.6 and the proposed Uniform Property Dataset (UPD) will be key.

Final Thoughts: Preparing for Real-World Application

The Limited Production Period is a significant step towards modernizing the appraisal process. Understanding that it's not a test but a live, supported rollout in the production environment helps us frame our preparation efforts correctly. It’s about adapting to new standards, leveraging new tools, and contributing to an industry-wide evolution. Let's use this time to learn, prepare, and get ready for a more data-driven future in appraising.