Detailed Answer
Disclaimer: This article is for educational purposes only and is not legal advice.
Under Washington law, a personal representative must file an inventory and appraisal of all estate assets within 90 days of appointment (RCW 11.28.260). The inventory lists real and personal property owned by the decedent at death. Washington law requires the appraisal of significant personal property items by two disinterested persons appointed by the court (RCW 11.28.280).
Fair Market Value (FMV) means the price the property would bring in a voluntary sale in the principal market between a willing buyer and a willing seller, both acting knowledgeably and without compulsion.
Appraisal Process:
- The personal representative identifies items requiring appraisal and petitions the probate court to appoint appraisers under RCW 11.28.280.
- The court appoints two qualified appraisers with relevant market expertise.
- Each appraiser researches recent comparable sales, market trends, and the property’s condition.
- Each appraiser submits an independent written report stating the FMV and methodology (RCW 11.28.290).
- The probate court reviews and approves the appraisals. If values vary significantly, the court may require additional appraisal or a hearing.
- Approved appraisal values become part of the estate inventory and set values for creditor claims, potential estate tax calculations, and distributions to beneficiaries.
Helpful Hints
- Select appraisers with specialized knowledge in the type of property being valued.
- Collect documentation of recent sales for similar items to support the appraisal.
- Maintain organized records of appraisal reports and related correspondence.
- If you question an appraisal, you can petition the court for review or additional appraisals.
- Consider an independent third-party valuation for high-value or unique assets.