Estate Real Estate Appraisals

Estate Real Estate Appraisals

For the executor of wills, getting a proper estate real estate appraisal is an important part of the services you must carry out. This type of appraisal will need to be carried out quickly by a reputable firm so that the results can be properly assessed. Given how difficult it will be to carry out an appraisal when a loved one passes, it pays to hire a reputable firm with years of experience. 

Purpose of the Appraisal

For the passing of property from the deceased to those who will inherit, the value must be determined. While it is understandable that such an appraisal may be the furthest thing from your mind during this time of grief, the value of the property must be determined for legal reasons. 

Fair Market Value: The first step in the appraisal process is to establish the fair market value of the property itself. This will provide an accurate account of the property’s value so that further assessments can be made.  

IRS & State Taxes: According to both federal and state laws, having detailed appraisals of property must be provided to the respective agencies for tax purposes. The sooner such an appraisal can be performed, the better. However, it is also true that federal and state agencies will show some leeway as to when it must be performed. 

Satisfied Parties: Everyone involved with the estate, from federal and state agencies for tax purposes to those who may inherit the property will need to have an accurate assessment performed. This is also for tax purposes as those who inherit may have their income level increase to the point where they fall into another tax bracket. 

Choosing the Right Firm

For the appraisal to be carried out, you should choose a firm that has a strong reputation. This means a firm that meets the requirements. 

• Follows the Uniform Standards of Professional Appraisal Practice (USPAP) 

• Has Strong Reputation with the Public

• Offers Expert Advice and Guidance

• Performs Tasks Quickly and Efficiently 

• Opinion of Appraisal Fully Supported

The last requirement is crucial as the appraiser must back their findings with solid evidence, so the appraisal can be verified and respected by all parties involved. The IRS for example will need to have accurate numbers for there assertation. The same is true for state tax agencies as well. However, for family members who may inherit part or all the estate, having accurate numbers is important for their taxes also. 

It will also bring peace of mind to those who may be inheriting property that has not been assessed in several years. Such an appraisal may also bring to light several other issues that may involve the estate. it is important for everyone involved to understand the overall value of the property itself and the effect that it offers. 

As the executor, be sure that your estate real estate appraisal is performed by a solid, reputable firm that has the knowledge and experience to do the job efficiently.