After the death of a person, his assets, including cash and property are evaluated before a grant is given to deal with the estate. This needs to be done before the assets can be passed to the beneficiaries even if they are not planning to sell it. A property that is going through probate needs to be left empty for some time and so the executors will make sure that the necessary unoccupied home insurance is applied. This is what is referred to as probate valuation. The condition of the property is also taken into account before a probate valuation is undertaken as this will obviously impact the building’s value.
An asset could be classified as anything that the person owned whether it is worth hard cash or can be sold. These include money in a bank, cars, shares, trusts, pensions, and valuable personal belongings like jewelry, shares and land property. All the details of the deceased are collected before the process of probate valuation commences. The following steps are then followed;
- A professional probate company will determine the value of the assets and gifts.
- Take away any debts from the sum of assets and gifts.
- Find out if there is an inheritance tax to pay
- Fill out the inheritance tax forms
- Apply for a legal grant of representation and send the filled out form along with the application.
It is always advantageous to use a professional valuation company to find the market value of the deceased at the time of their death since estimating the value of belongings worth so much could be a daunting task for you especially at a distressing time like this when you are mourning. The property could end up being over- valued which is another burden as this could translate into making the property liable for inheritance tax. To avoid all these, bring in a professional.
Gifts and Trusts
Probate valuation also includes any gifts or cash the person gave away while alive. A general rule of thumb would be to include only gifts that were paid inheritance tax on them. Sometimes gifts may be put in a trust. In this case, the trustees will work closely with the evaluators if these also count as part of the assets to be included in the inheritance tax, and the total value. A realistic market value is set according to the value of the gift at the time was given away.
Manor Clearance provides expert probate valuation services and house clearance services including a thorough search for personal documents and valuables. We provide storage services for removals of a house clearance as well.
Benefits of hiring a professional to perform a probate valuation
Since most of the companies offering probate valuation services have been in the business for a long period of time, they are the best people to consult when looking for probate services for domestic customers as well as solicitors and auction houses. Sound advice is also provided in case you want to sell or auction your valuables on the best venues to do perform such actions. We will help you take the right steps during the probate process. We understand that this can be a trying time and we will provide you with a written document as proof of declaration of value.
Whether it is your choice on whether to use or resale the property, we have a team of skilled locksmith, cleaners, and decorators for a smooth and timely transition. Do not hesitate to contact us either through phone or by email and we will be happy to offer assistance.