The appraisal process is getting a major transformation. With a 14-month phased rollout already underway (started September 2024), lenders are transitioning to new real estate appraisal systems that lean heavily on technology, automation, and shifting agent responsibilities.
As a real estate agent, staying informed — and adapting quickly — will be essential to keeping your deals on track and delivering value to your clients.
"What separates those who thrive from those who get left behind isn’t just your skills, it’s the ability to learn, unlearn and relearn," says business development professional and writer Dale Newman in a Medium article.
"It’s understanding that the question isn’t 'Will change come?' but 'Will I be ready when it does?'"
So, let’s be ready.
In this article, we’ll go over:
Now, let’s get started!
Following the National Association of REALTORS® (NAR) settlement agreement reached in 2024, many real estate practices have been affected. The appraisal process is one of them.
New rules are impacting how appraisers gather information and how agents communicate with them. It’s no longer just a single professional visiting a property and issuing a report.
“Data is the main ingredient in the appraisal process,” according to an article in REALTOR® Magazine. “Clear, concise and verifiable data helps to ensure an accurate appraisal report.”
Lenders are now adopting new real estate appraisal systems that promise faster turnaround times, streamlined data collection, and more tech-driven valuations.
These changes mean that agents may be asked to play a more hands-on role in the data collection process. You’ll need to understand all the nuances to avoid any errors, delays, or compliance problems.
This is also the time to put yourself in a position to benefit from the opportunities that often result from innovation and change.
As Socrates once said, “The secret of change is to focus all of your energy, not on fighting the old, but on building the new.”
Ask yourself what you can do now to take advantage of what’s coming? (Hint: You’ll find actionable steps later in this article.)
The major shifts you’ll need to understand going forward — from new appraisal methods to enhanced technology integration to updated reporting protocols.
All of these changes influence how you collaborate with lenders, support clients, and demonstrate your expertise.
Plus, each shift offers its own set of practical adjustments and opportunities. Understanding them will help you make strategic decisions throughout this transition.
Get up to speed on these key trends, and you’ll be better equipped to anticipate client needs, minimize risk, and actively contribute to seamless transactions.
The changing landscape brings new opportunities, yes, but it also brings new responsibilities. You'll be required to broaden your skill sets and function with greater agility.
As technology becomes integrated throughout the appraisal process, agents must be able to function as both a traditional agent and a steward of digital data and compliance practices.
Here's what you can expect as these changes are phased in:
This might seem like a lot of change, but this evolution creates expanded opportunities for client service and industry leadership, positively positioning agents who quickly embrace these shifts.
“The real estate market is always evolving,” says Nick Schlekeway, founder of Idaho-based real estate brokerage Amherst Madison, in an Inman article, “and the agents who succeed aren’t waiting for conditions to improve — they’re adapting, learning and taking action right now.”
There are several proactive measures you can implement now, and throughout the remainder of this year, to stay ahead of the curve and maintain your competitive edge with confidence.
By approaching these appraisal changes with preparation and a willingness to adapt, you'll reinforce your value to clients, positioning yourself as a knowledgeable resource they can count on.
The real estate industry is evolving quickly. Agents who can adapt are far more likely to find success, no matter the circumstances.
As the changes to real estate appraisal systems roll out, stay informed, build strong data packages, and proactively support appraisers. If you do this, you can avoid problems and gain a reputation as a trusted, capable professional.
💡 Pro Tip: Lean on real estate associations for support:
In REALTOR® Magazine’s “Quick Guide to Practice Changes,” it’s stated that NAR, state and local REALTOR® associations and MLSs have been communicating and advising on the changes, as well as the actions brokerages need to take to prepare and thrive.
You can visit facts.realtor for updates and check your local and state association websites to learn what education they have available and what training must come from the brokerage level.
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