diff --git a/acceptance/bundle/resources/apps/lifecycle-started/output.txt b/acceptance/bundle/resources/apps/lifecycle-started/output.txt
index b07d44dc5ac..cb858a8e0cc 100644
--- a/acceptance/bundle/resources/apps/lifecycle-started/output.txt
+++ b/acceptance/bundle/resources/apps/lifecycle-started/output.txt
@@ -84,7 +84,7 @@ Deployment complete!
       "description": "MY_APP_DESCRIPTION_2",
       "name": "[UNIQUE_NAME]"
     },
-    "update_mask": "description"
+    "update_mask": "description,budget_policy_id,usage_policy_id,resources,user_api_scopes,compute_size,git_repository,telemetry_export_destinations"
   }
 }
 
@@ -112,7 +112,7 @@ Deployment complete!
       "description": "MY_APP_DESCRIPTION_3",
       "name": "[UNIQUE_NAME]"
     },
-    "update_mask": "description"
+    "update_mask": "description,budget_policy_id,usage_policy_id,resources,user_api_scopes,compute_size,git_repository,telemetry_export_destinations"
   }
 }
 {
diff --git a/acceptance/bundle/resources/apps/update/out.requests.direct.json b/acceptance/bundle/resources/apps/update/out.requests.direct.json
index 85a9ac2bc63..e33ad270576 100644
--- a/acceptance/bundle/resources/apps/update/out.requests.direct.json
+++ b/acceptance/bundle/resources/apps/update/out.requests.direct.json
@@ -15,7 +15,7 @@
       "description": "MY_APP_DESCRIPTION",
       "name": "myappname"
     },
-    "update_mask": "description"
+    "update_mask": "description,budget_policy_id,usage_policy_id,resources,user_api_scopes,compute_size,git_repository,telemetry_export_destinations"
   },
   "method": "POST",
   "path": "/api/2.0/apps/myappname/update"
diff --git a/bundle/direct/dresources/app.go b/bundle/direct/dresources/app.go
index b40a22b9412..76a0881f9e5 100644
--- a/bundle/direct/dresources/app.go
+++ b/bundle/direct/dresources/app.go
@@ -4,7 +4,6 @@ import (
 	"context"
 	"errors"
 	"fmt"
-	"slices"
 	"strings"
 	"time"
 
@@ -163,19 +162,23 @@ func (r *ResourceApp) DoCreate(ctx context.Context, config *AppState) (string, *
 	return app.Name, nil, nil
 }
 
+var UpdateMaskFields = []string{
+	"description",
+	"budget_policy_id",
+	"usage_policy_id",
+	"resources",
+	"user_api_scopes",
+	"compute_size",
+	"git_repository",
+	"telemetry_export_destinations",
+}
+
+var updateMask = strings.Join(UpdateMaskFields, ",")
+
 func (r *ResourceApp) DoUpdate(ctx context.Context, id string, config *AppState, entry *PlanEntry) (*AppRemote, error) {
 	// Deploy-only fields (source_code_path, config,
 	// git_source, lifecycle) are not part of apps.App and thus excluded from the request body.
 	if hasAppChanges(entry) {
-		fieldPaths := collectUpdatePathsWithPrefix(entry.Changes, "")
-		slices.Sort(fieldPaths)
-		for i, fieldPath := range fieldPaths {
-			fieldPaths[i] = truncateAtIndex(fieldPath)
-		}
-		fieldPaths = slices.DeleteFunc(fieldPaths, func(p string) bool {
-			return deployOnlyFields[p]
-		})
-		updateMask := strings.Join(fieldPaths, ",")
 		request := apps.AsyncUpdateAppRequest{
 			App:        &config.App,
 			AppName:    id,
diff --git a/bundle/direct/dresources/app_test.go b/bundle/direct/dresources/app_test.go
index ad9ca01e8a4..9eeeef505a3 100644
--- a/bundle/direct/dresources/app_test.go
+++ b/bundle/direct/dresources/app_test.go
@@ -1,6 +1,9 @@
 package dresources
 
 import (
+	"reflect"
+	"slices"
+	"strings"
 	"testing"
 
 	"github.com/databricks/cli/libs/testserver"
@@ -120,3 +123,47 @@ func TestAppDoCreate_RetriesWhenGetReturnsNotFound(t *testing.T) {
 	assert.Equal(t, 2, createCallCount, "expected Create to be called twice")
 	assert.Equal(t, 1, getCallCount, "expected Get to be called once to check app state")
 }
+
+func TestAppDoUpdate_UpdateMaskHasAllFields(t *testing.T) {
+	// iterate over all apps.App fields using reflection and ensure that UpdateMaskFields contains all of them.
+	config := GetGeneratedResourceConfig("apps")
+	require.NotNil(t, config)
+	var nonUpdatableFields []string
+	for _, field := range config.IgnoreRemoteChanges {
+		nonUpdatableFields = append(nonUpdatableFields, field.Field.String())
+	}
+
+	for _, field := range config.RecreateOnChanges {
+		nonUpdatableFields = append(nonUpdatableFields, field.Field.String())
+	}
+
+	config = GetResourceConfig("apps")
+	require.NotNil(t, config)
+	for _, field := range config.IgnoreRemoteChanges {
+		nonUpdatableFields = append(nonUpdatableFields, field.Field.String())
+	}
+
+	for _, field := range config.RecreateOnChanges {
+		nonUpdatableFields = append(nonUpdatableFields, field.Field.String())
+	}
+
+	app := apps.App{}
+	fields := reflect.TypeOf(app)
+	var allFields []string
+	for i := range fields.NumField() {
+		field := fields.Field(i)
+		jsonTag := field.Tag.Get("json")
+		if jsonTag == "" || jsonTag == "-" {
+			continue
+		}
+		jsonTag = strings.TrimSuffix(jsonTag, ",omitempty")
+		allFields = append(allFields, jsonTag)
+		if !slices.Contains(nonUpdatableFields, jsonTag) {
+			assert.Contains(t, UpdateMaskFields, jsonTag, "field %s is not in UpdateMaskFields and not marked as non-updatable", jsonTag)
+		}
+	}
+
+	for _, field := range UpdateMaskFields {
+		assert.Contains(t, allFields, field, "field %s is in UpdateMaskFields but not in apps.App struct", field)
+	}
+}
diff --git a/bundle/direct/dresources/resources.yml b/bundle/direct/dresources/resources.yml
index 532008296b1..569fca9ee82 100644
--- a/bundle/direct/dresources/resources.yml
+++ b/bundle/direct/dresources/resources.yml
@@ -385,6 +385,9 @@ resources:
       # drift detection applies (e.g. detecting out-of-band stop).
       - field: lifecycle
       - field: lifecycle.started
+    ignore_remote_changes:
+      - field: space # This field is not yet supported by Update APIs but exposed in the API spec. TODO: fix when update APIs supports it.
+        reason: managed
 
   secret_scopes:
     backend_defaults: