PROBATE
How do I value an estate home for probate?
By Steve Lockhart
The short answer
Two different numbers are doing two different jobs here. The appraisal is the evidence: it is prepared by a licensed appraiser, filed with the estate, and used by the court as the reference for inventory value and for confirming any sale.
Full answer
Two different numbers are doing two different jobs here. The appraisal is the evidence: it is prepared by a licensed appraiser, filed with the estate, and used by the court as the reference for inventory value and for confirming any sale. In many Nevada estates, an appraisal of real property is required, which makes it the anchor of the whole process.
The listing price is the strategy. That is where my work comes in: I analyze recent sales of comparable homes in the same neighborhood, adjust for condition and size, and read what the current market is doing for as-is properties. The two numbers need to agree closely enough to be defensible at a confirmation hearing, where an offer far below appraised value is hard to justify, especially if a better offer can be presented.
Condition plays an outsized role in estate valuation. Probate homes are often dated or vacant, and a home that has sat empty needs honest adjustments: deferred maintenance, an aging roof or AC, the reality that a buyer will spend money before moving in. The appraiser captures condition for the court, and I capture it for the market, and when the two agree, the estate gets a fair price and the family gets a clean process.
A note about legal guidance: Steve is a licensed Realtor, not an attorney or a tax advisor. Probate, estate, and related tax questions involve Nevada law and IRS rules, and the specifics of your situation deserve a review with a probate attorney and a CPA who know your case.
Go a little deeper
Frequently asked
Questions people often follow up on
Can the estate sell for more than the appraisal?
Yes, and it happens whenever the market is strong. The appraisal is a floor and a reference point, not a ceiling; buyers determine the price through offers, and the court confirms what the market supports.
Who picks the appraiser?
Usually the personal representative, with input from the estate's attorney, and the fee is paid from the estate. In a sale context, the buyer's lender may require its own appraisal as well.
What if the house needs repairs?
Both the appraiser and the market analysis account for condition. Radically different opinions usually mean someone missed something, which is why I walk the property, pull the sales, and reconcile my number with the appraisal before the listing goes live.
The Lockhart Method
The Lockhart Method
Your Home | My Strategy | Proven Results
My strategy: reconcile the appraisal with a market number before listing, not after. When the court's number and my sales analysis agree, the price is defensible, the family is protected, and the estate can negotiate from strength instead of defending a number no one understands.
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