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Property Appraisal Divorce Property Appraisal Divorce is paramount for an equitable division of marital assets. A Divorce Property Appraiser is the first professional that the administrator, attorney or arbitrator should call. Here are the reasons why: • An unbiased certified Divorce Property Appraisal by an accredited appraiser can be used by both parties to cut down appraisal cost, attorney cost and litigation time. • Negotiations are usually much quicker and very simple with a mutual Divorce Property Appraisal. • The value of all assets is made irrefutable and acceptable by both parties as of the date of divorce. • A Divorce Property Appraisal includes real property (the house) and personal property (the business, the vehicles, jewelry, art, guns, antiques, rugs, collectibles, furniture, machinery, equipment, computers, logos, trademarks, inventory, coins, bullion, gems, pensions, retirement plans and all other assets that can be moved) providing an inventory of all assets to be divided. • If the other spouse does not agree to use the same appraiser or an accredited Divorce Property Appraisal, your appraisal will be defended in court by an Expert Appraisal Witness, and the other spouse will have to defend a weak value if they have one at all! The Appraiser Conducting a Divorce Property Appraisal will: • Identify and locate all the assets of the marital estate • Determine ownership of said property • Value the assets as of the date of dissolution using a type of valuation that is relevant and accepted by USPAP • Determine the authenticity property that could be a replica, • Be willing to give expert testimony should the Divorce Property Appraisal enter litigation. The Divorce Property Appraisal report is written so it can be clearly understood, prepared in a timely manner and prepared according to the latest laws outlined in Uniform Standards of Professional Appraisal Practice (USPSP) designated by Congress. Appraisal 365 has performed Divorce Property Appraisals for the past 27 years. Our Professional Appraisers have a sum total of over 60 years of valuations. When the marital estate has the remotest chance of litigation, choose the accredited appraiser who can certify the Divorce Property Appraisal and who also has the credentials to testify as an Expert Appraisal Witness. We have members of ASA, NAPA, and NAA and are USPAP compliant. • Divorce Property Appraisal Experienced Divorce Property Appraisal is recommended for every divorce regardless of value. When people marry, they don’t do so with a view towards getting divorced. Unfortunately, circumstances change, and there are times when divorce becomes necessary. When this situation does occur, it is important that a divorce property appraisal is conducted so that both parties receive ‘equitable distribution’ of the marital assets. A divorce property appraisal will help to identify assets and debts obtained during the course of the marriage, classify marital and separate property and evaluate the overall marital asset and debt. Using the divorce property appraisal can help you to decide whether it is best to settle with your partner out of court, or whether to go to trial. Often, in the case of relatively short marriages with few assets, financially speaking, it is best to settle out of court. However, in the case of divorces where many assets are involved, it is often necessary for a court to decide how the property and assets will be divided. Marital vs. Separate Property By conducting a divorce property appraisal, marital and separate property can easily be determined, which can help to speed up settlement time, and clear up any misunderstandings. Though in many cases, marital property and assets (acquired during the marital relationship) and separate property (acquired before or after the marital relationship) are usually easily distinguished, there are times when it can be difficult to determine whether an asset is marital or separate property. A divorce property appraisal can help to distinguish this. Marital property refers to many things, and differs from state to state, which is why a divorce property appraisal is highly necessary. Some of the items included as marital property in some states includes bank accounts, career paths, certifications and/or degrees, corporation or partnership, gifts among spouses, investment accounts, licenses to practice a profession, pension plans, personal property such as artwork and home furnishings, real property, reputable interests in a business, retirement funds, stock options, wedding gifts and whole life insurance policies. Alternatively, a divorce property appraisal will also distinguish items which should be classified as separate property, according to state laws. Items that are considered separate property include compensation for personal injuries, gifts to a single spouse, income from separate property and inheritances. As there are exceptions to the rules for separate property, it is of benefit to both parties to ensure that a divorce property appraisal is performed before any settlement is reached. A divorce property appraisal will ensure that both parties are made aware of what constitutes marital property, according to their state laws. From the information gathered from a divorce property appraisal, both parties are then able to decide whether an out of court settlement is possible, or if the case will have to go to trial. Should litigation require that the appraisal be defended, always choose a Divorce Property Appraisal that is irrefutable on the stand with an expert appraisal witness such as Appraisal365. Divorce Valuation of Property Divorce Valuation of Property by an accredited expert appraiser will aid the court and the parties in equitable distribution. If both parties could agree on an accredited appraiser who is also an expert appraisal witness, the appraisal is more cost efficient and less negotiation is needed at the time of distribution of property. Most couples of divorce think first of the home, however when the home is valued at $200,000 or more, the contents usually are appraised at equal or more than the home. A home appraiser usually is not qualified to appraise the personal property (contents and all other property that is jointly owned that is not real estate). Take appropriate measures to find an appraiser that can appraise the property of divorce. The date that the filing of the Complaint for Divorce will be the date that assets will be valued for purposes of equitable distribution. Should the assets increase or decrease in value due to market conditions, such as in the stock markets and real estate, the loss or gain is realized by both divorce parties at the time the assets are distributed or sold. Should an asset increase in value due to the sole industry and efforts of one party, the gain will be that of the person causing the increase in value. If there are losses the loss will be treated similarly. Divorce Valuation of property extends to pensions, business owned, trademarks as well as the home, land, and vehicles. Finding an appraiser is also an expert appraisal witness is paramount should litigation occur beyond the formality of dissolution? Divorce appraisal 1 Divorce appraisal does not necessarily apply when considering a prenuptial agreement, an inheritance, a gift or purchase made prior to the marriage. A divorce appraisal does apply in community states, and most other states of civil and common-law marriages. In the cases of some properties that were brought into the marriage as separate property, and accumulated value during the marriage, due to both spouses’ efforts, the increased value during the marriage will be appraised and divided by the court. All joint marital property has value. In most marriages, the personal property found in the home and in the form of other movable property, such as motor homes, boats, trailers, motorcycles, jet skis, collectibles, china, silver, antique furniture, guns, coin collections, cattle or pedigree animals, pensions and retirement plans are all marital assets of value also known as personal property. A divorce appraisal would always include a real estate appraisal. A real estate appraiser usually is not qualified to do a personal property appraisal. A divorce appraisal would include a real estate appraisal and personal property appraisal. Most marriages include as much value in their personal property as there is in the real estate. An accredited divorce appraisal will ensure both parties, that there will be an equal fair division of the marital property. Divorce appraisal for both spouses can be done by one impartial accredited appraiser. An attorney that is looking for settlement will advise that both parties use the same impartial appraiser. A mutual divorce appraisal will speed up negotiations and can drastically reduce the cost to both spouses. Should separate divorce appraisals be called for, an expert appraisal witness should be found that has testified previously as an expert witness and can irrefutably defend his appraisal. The division of marital property can only be fair and the values resolved through a divorce appraisal. New laws and rules applied by an accredited divorce appraisal insures that a fair division of real estate, personal property, including securities, pensions and business ownership will be rendered by the court. These federal provisions apply to all appraisers and are outlined in the USPAP guidelines. No longer can any CPA, financial adviser, banker, business broker or auctioneer be qualified to give values in court of your real estate and personal property unless they comply with the following laws. The new laws are very clear, for any person to be considered as an expert appraisal witness, they must have completed the necessary education, and passed the current USPAP test. Appraisal 365 has over 27 years experience in divorce appraisals, personal property appraisals, real estate appraisals and decedent estate appraisals. We have Professional Appraisers that render nationwide accredited appraisals that are USPAP compliant. Divorce Appraisal 2 Divorce appraisal for a professional practice or business becomes the part of a divorce proceeding, it is wise to seek a professional divorce appraisal, so that a fair valuation of the business can be established. This will help to ensure that a satisfactory distribution of the marital assets can be reached. In most cases, if the business is to be sold, there are few issues. However, if one spouse plans to continue to run the business once the divorce is complete, differences in opinion on the value of the business often arise. It is in these cases where a professional divorce appraisal is vital to help settle any disputes, and help to establish a fair value for the business, so that a settlement can be reached. Terms of establishing a value for a professional business, ‘fair market value’ is used. However, this standard can be influenced by emotion, if done by the parties involved, rather than by a professional divorce appraiser. For this reason, it is best to obtain a professional divorce appraisal so that the value determined is fair to both parties. Things that influence fair market value include the following: current accounts receivable, fixed assets, goodwill, liabilities and work in progress. All of these things will be taken into consideration during a professional divorce appraisal to help determine the dollar value of the business. Should negotiations break down your professional divorce appraisal should be prepared by an expert appraisal witness who specializes in irrefutable appraisal testimony. But what is fair market value? The term means that it is the value at which a property would be sold to a willing buying, where circumstances do not dictate the need to sell or buy at that particular time, and where both parties have an understanding of the relevant facts. Different types of businesses tend to inspire a different value, so it is imperative that a professional divorce appraisal be conducted if a professional business is an asset involved in divorce proceedings. An appraiser will be able to determine, based on the type of business, what the fair market value of a business would be, should it be sold. Seeking a professional divorce appraisal where a professional practice or business is concerned, you will ensure that the value determined is one based upon fair market value, and not clouded by emotions, or ‘future possibilities Divorce Appraisal Litigation Divorce Appraisal Litigation is the first issue to be planned for and the last event before settlement. Arranging for a divorce appraiser is not a yellow page option. The resident real estate appraiser is usually not qualified to appraise the personal property of the marital estate that is to be divided. The personal property (all tangible and intangible property that can be moved) requires special training and experience to appraise. The personal property of the marital estate will meet or exceed the value of the home that is appraised at $200,000 or more. Divorce appraisal litigation should be planned from the first visit of the client. The Divorce Appraisal Litigation should always include the option to have a qualified, accredited, unbiased appraiser do a joint appraisal for both spouses. This will not only help negotiations but it will speed the process and cut down on appraisal cost. The qualifications for a qualified, accredited appraiser for Divorce Appraisal Litigation are: Experienced as a divorce appraiser including the ability to do business valuations, machinery and equipment appraisals, personal property and real property appraisals,
If there is Divorce Appraisal Litigation and not mutual consent for a joint appraisal then it is imperative that an appraiser is chosen with all the credentials listed above and that he can deliver an appraisal that is understandable, defendable and irrefutable! Appraisal 365 combines all of the qualifications and accreditations listed above to insure that your Divorce Appraisal Litigation is not another dispute within the divorce but rather a solution for all participants. Appraisal 365 has Professional Appraisers with 27 years experience in valuations to meet your Divorce Appraisal Litigation needs. Email or call Appraisal 365 for experienced expert appraisers. (714) 230-5104 or customercare@appraisal365.com |
