Are Personal Representatives Required To Value Assets During The Probate Process?
Personal representatives are individuals who have been appointed, either in a will or by the probate court, to administer an estate after a person has passed away. Personal representatives have many duties during the probate process, including identifying all the assets owned by the deceased and valuing them. This is not always as straightforward as it may seem. Below, our Daytona Beach estate administration attorney explains in further detail.
How Can Personal Representatives Identify Assets Within an Estate?
The first step in identifying assets is typically going through someone’s home, office, and filing cabinets after they pass away. These are common storage areas for investment records, deeds, financial statements, tax returns, and more. These documents are very helpful in identifying assets. It can also be helpful for personal representatives to have the deceased’s mail forwarded to them so they can track credit card statements and other financial activities.
Bank accounts and other financial institutions can indicate other types of property owned by the deceased, as well. Personal representatives should contact any bank or institution they find statements from among the deceased’s belongings. After all property is identified, it is important for personal representatives to create a written inventory of all assets and value them.
How Can Personal Representatives Value Assets Within an Estate?
Again, personal representatives are also responsible for valuing the property within an estate. Although some property, such as bank accounts, will have a concrete value, this is not always true with other assets.
In some cases, searching online can be an effective way to value the assets within someone’s estate. For example, if someone had an extensive comic book collection, finding similar items online can help determine the value of the collection. Appraising other types of property, such as fine antiques or art, may require the help of a professional appraiser. These experts can advise on the legitimacy of certain assets and provide an accurate value.
If an estate includes real estate, this type of property must be appraised entirely differently. Determining the fair market value of real estate may require a review of local market data. Inspections may also have to be conducted to identify potential issues that could affect the resale value of real estate.
When an estate includes income-generating property, this too, requires a unique approach to determining its value. Income-generating property such as a rental unit or a business is not always valued by its current value but instead, its ability to generate income for years to come. The amount of the generated income is often the higher priority. It is always critical to work with a professional when valuing income-generating property.
Contact Our Estate Administration Attorney in Daytona Beach Today
If you have been appointed as personal representative, you need legal help. At Bundza & Rodriguez, our Daytona Beach estate administration attorney can provide it, guide you through the probate process, and ensure that all tasks are handled properly so completing them is as easy as possible for you. Call us now at 386-252-5170 or chat with us online to request a consultation with our experienced attorney.
Source:
leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&Search_String=&URL=0700-0799/0733/Sections/0733.602.html
