FastCounsel

Detailed Answer

When you administer a Maryland probate estate, you must list the estate’s assets and provide a reasonable basis for their values. For motor vehicles, Maryland practice treats the value as the fair market value on the date of death unless the Register of Wills or a court orders otherwise. The practical steps below explain how to establish and document that value so you can file the inventory and justify the amount to the Register of Wills, creditors, beneficiaries, or the court.

Step 1 — Confirm the administration path

First, determine whether the estate goes through informal probate, formal probate, or a small‑estate procedure. The county Register of Wills handles probate and provides the necessary forms and instructions. Many administration steps (including what you must file) depend on that choice. For local guidance and the inventory form, see the Maryland Register of Wills: https://www.mdcourts.gov/registers and the probate forms page: https://www.mdcourts.gov/registers/forms.

Step 2 — Identify the vehicles and important facts

• Collect make, model, year, VIN, mileage at date of death, license plate, title, and registration.
• Note condition: clean, damaged, inoperable, salvaged, or rebuilt titles.
• Identify loans or liens (payoff balances) and who held them (lender name and account).

Step 3 — Use the date of death as the valuation date

For probate purposes you normally value assets at the market value on the decedent’s date of death. That means you must estimate what the vehicle would have sold for on that date, given its condition and mileage.

Step 4 — Gather valuation evidence

Use one or more of the following to build a defensible value:

• Independent appraiser report: hire a licensed auto appraiser and get a written appraisal describing methodology and comparables. This is strongest evidence.
• Dealer or auction appraisal: obtain written dealer quotes or auction estimates dated near the date of death.
• Published guides: print or save online valuations from Kelley Blue Book (KBB), NADA Guides, or Edmunds that match year, model, mileage, and condition. Save screenshots and show how you adjusted for condition and mileage.
• Comparable sales: save listings and completed sales of similar vehicles (private party or dealer) from the same region around the date of death (e.g., Craigslist, AutoTrader, CarGurus).
• Repair and condition records: maintenance records, photos showing damage, receipts for recent repairs, or evidence of mechanical issues that affect value.

Step 5 — Account for liens and encumbrances

If a lender holds a security interest, show the payoff figure as of the date of death. The vehicle’s net value to the estate equals market value minus any valid lien. Obtain a payoff statement from the lender and keep it with the file.

Step 6 — Prepare the inventory entry

On the inventory form used by the Register of Wills, list each vehicle separately and include:

• Make, model, year, VIN, mileage.
• Appraised fair market value and the valuation method (e.g., KBB private-party value adjusted for condition; independent appraisal dated MM/DD/YYYY).
• Any liens and their payoff amounts.
• Attach supporting documents (appraisal, dealer quote, comparable listings, photos, lender payoff).

Step 7 — Keep clear records and be consistent

Document how you reached each value. If beneficiaries or creditors question a vehicle’s value, your documentation (comparables, quotes, appraisals) shows you acted reasonably. If someone disputes the value, the Register or court may accept an independent appraisal or order a formal valuation.

Example (hypothetical)

Suppose the decedent owned a 2016 sedan with 90,000 miles and fair body condition but a worn interior. You collect a KBB private‑party value dated near the date of death showing $6,200, two local private‑party sale listings that closed at $5,800–$6,300 for similar cars, recent repair receipts showing no major mechanical issues, and photos. You list the vehicle on the inventory as $6,000 and attach the KBB printout and the comparables. A lender holds a $2,000 payoff; you list that as a lien so the estate’s net car value is $4,000.

Helpful Hints

• Valuation date matters: use the decedent’s date of death. Save dated screenshots and printouts for online valuations.
• Prefer written evidence: appraiser reports, dealer or auction quotes, and printed guide values carry more weight than verbal estimates.
• If the vehicle is damaged or not running, an independent mechanical inspection and photo evidence help justify a lower value.
• Keep lender payoff letters: a verified payoff as of the date of death shows the encumbrance amount you list on the inventory.
• For jointly titled vehicles or vehicles with transfer-on-death designations, title rules may remove the vehicle from probate—check the title and Register of Wills guidance.
• When in doubt, get an independent appraisal. It costs money but reduces disputes and speeds settlement.
• Contact your county Register of Wills for specific inventory forms, deadlines, and procedures: https://www.mdcourts.gov/registers.