Hello Peg, What you need is a Retrospective Appraisal…
“Retrospective appraisals (effective date of the appraisal prior to the date of the report) may be required for property tax matters, estate or inheritance tax matters, condemnation proceedings, suits to recover damages, and similar situations.
Current appraisals occur when the effective date of the appraisal is contemporaneous with the date of the report. Since most appraisals require current value opinions, the importance of specifying both the date of the report and the effective date of the analysis is sometimes lost.
Prospective appraisals (effective date of the appraisal subsequent to the date of the report) may be required for valuations of property interests related to proposed developments as the basis for value at the end of a cash flow projection and for other reasons.
The use of clear and concise language and appropriate terminology in appraisal reports helps to eliminate misleading reports. To avoid confusion, the appraiser must clearly establish the date to which the value opinion applies. In retrospective value opinions, use of a modifier for the term "market value" and past verb tenses increases clarity (e.g., ". . . the retrospective market value was . . ." instead of ". . . the market value is . . .").
A retrospective appraisal is complicated by the fact that the appraiser already knows what occurred in the market after the effective date of the appraisal. Data subsequent to the effective date may be considered in developing a retrospective value as a confirmation of trends that would reasonably be considered by a buyer or seller as of that date. The appraiser should determine a logical cut-off because at some point distant from the effective date, the subsequent data will not reflect the relevant market. This is a difficult determination to make. Studying the market conditions as of the date of the appraisal assists the appraiser in judging where he or she should make this cut-off. In the absence of evidence in the market that data subsequent to the effective date were consistent with and confirmed market expectations as of the effective date, the effective date should be used as the cut-off date for data considered by the appraiser.
Use of direct excerpts from then-current appraisal reports prepared at the time of the retrospective effective date helps the appraiser and the reader understand market conditions as of the retrospective effective date.”
If you order a retrospective appraisal, you will likely pay a higher fee to justify the time and risk an appraiser takes in producing the report. Your value will be less reliable than a current appraisal and can be more easily challenged by the IRS and others. Accurate data on the subject, comps, and the market at that time may be difficult to obtain.
I suggest that you hire an appraiser who was practicing during the period of your “date of death” because they should have reference files available and working experience from the time frame needed.
If you need help finding a reliable appraiser with the proper tools and experience, feel free to reach me directly.
Kris Furrow - Realtor® RealEstate.com Realtors®
2455 East Parley's Way #215 Salt Lake City Utah, 84109
Direct:801.916.0815 Office:801.467.6688 Fax:801.736.9288