The End of Form Numbers: How 6 Data Points Are Redefining Appraisals
Hi, I'm Daniel Yoder. For my entire career, like many of you, I've thought in terms of form numbers. "Is it a 1004? A 1073? A 2055?" These numbers have been the shorthand for our entire workflow, from the moment we get an order to the final report submission. With the rollout of the Uniform Appraisal Dataset (UAD) 3.6 and the redesigned Uniform Residential Appraisal Report (URAR), this is fundamentally changing. The era of the form number is ending, and we're moving toward a system where the property's data tells the story.
Let's break down what this shift means for us on a practical, day-to-day level.
From Form Numbers to Property Characteristics
The core idea behind this change, as outlined in the GSEs' "Lender Readiness Kit" and the "Functioning without Form Numbers" guide, is to replace a collection of static, rigid forms with a single, dynamic, and data-driven report. Instead of an appraiser or lender selecting a form number like "1004" to start an assignment, the appraisal request and the resulting report will be driven by a specific set of property and assignment characteristics.
This is a significant mental shift. The report is no longer a container we fill; the data we collect creates the report.
The Six Data Points That Define the Report
According to the "Functioning without Form Numbers" documentation, six key UAD data points will now be used to define the property and the scope of the appraisal report. Getting these right from the start will be crucial.
Property Valuation Method: This defines the scope of work for the appraiser. Is it a Traditional appraisal, a Hybrid, a Desktop, or an Exterior-Only? This single data point replaces the need for separate forms like the 2055 for exterior-only assignments.
Construction Method: This specifies how the dwelling was built. The primary options will be Site Built, Manufactured, Container, Modular, or 3D Technology. This helps differentiate a standard stick-built home from a manufactured home (previously on a 1004C/70B) right from the start.
Project Legal Structure: This is critical for identifying condos and co-ops. Is the property in a Condominium, Cooperative, or even a Condop? This, combined with other data, replaces the old 1073/465 and 2090 forms.
Subject Site Owned in Common: A simple 'Yes' or 'No' that helps identify properties within a PUD or condo project where common land ownership is a factor. The documentation notes this is particularly relevant for detached condos.
Units Excluding ADUs: This is simply the number of primary living units. For most single-family appraisals, this will be '1'. For a duplex or triplex, it would be '2' or '3'. This is a key data point for what used to be a 1025/72 appraisal.
Accessory Dwelling Units (ADUs): This captures the number of ADUs on the property. A property with one main house and one ADU would have '1' for "Units Excluding ADUs" and '1' for "Accessory Dwelling Units."
How It Looks in Practice
Let's look at a simple example based on the GSE guidance. To generate a report for what we've always called a Form 1004 (Detached Single-Family), the key data points would be: * Property Valuation Method: Traditional * Construction Method: Site Built * Units Excluding ADUs: 1 * Accessory Dwelling Units: 0 or 1
For what was a Form 1073 (Condo), the combination might be: * Property Valuation Method: Traditional * Construction Method: Site Built * Project Legal Structure: Condominium * Units Excluding ADUs: 1 * Accessory Dwelling Units: 0
The new URAR summary page will clearly display these characteristics, allowing anyone reading the report to understand the property type and scope of work without ever seeing a form number.
A More Flexible Future for Atypical Properties
One of the most significant benefits of this new approach is its flexibility. The old forms struggled with "atypical" properties. Where did a site condo fit? What about a manufactured home in a cooperative project?
The new URAR, by being data-driven, can accommodate these unique properties. A site condominium, for example, is now easily defined by selecting Project Legal Structure: Condominium and Attachment Type: Detached. This clarity was missing from the old system. This move to discrete, structured data is a consistent theme, and as I covered in a previous post on defect reporting, it aims to reduce ambiguity across the entire report.
This shift toward collecting discrete data points rather than filling out static forms is where new technology can play a vital role. For instance, a tool like Valuemate is designed to capture these very characteristics—number of units, construction type, ADUs—directly during the property data collection process. By automating the capture of these foundational data points, it ensures the resulting report is structured correctly from the ground up, aligning perfectly with the new "formless" methodology.
Ultimately, this change requires us to be more precise in our data collection and reporting. The focus is shifting from "what form is this?" to "what are the essential characteristics of this property?" It's a change that will take some getting used to, but it paves the way for a more logical, consistent, and modern appraisal process.