RETROSPECTIVE PROPERTY VALUATIONS
Do you require a retrospective property valuation?
Melbourne Property Valuation has over 15 years experience in providing high quality retrospective property valuation reports for all types of properties in Melbourne.
In most situations clients properties are valued as at the date they are inspected, but it is not uncommon for clients to require the valuation of property at some specific time in the past. This is known as a retrospective property valuation, or sometimes as a backdated property valuation.
The most common reasons a property is required to be retrospectively valued is for capital gains tax, family law/property settlement, immigration, or estate settlement purposes. We can of course value a property for almost any purpose in the past, it just needs to be confirmed with the valuer prior to any agreement to undertake the valuation.
In most cases clients still have access to the property, but is it not uncommon for clients to request a retrospective property valuation where access to the property is not possible.
This may be for example a capital gains tax valuation for retrospective purposes where the client has just been informed that they may be liable for capital gains tax on a property, and to calculate this a retrospective value of the property needs to be determined.
As licensed property valuers we have access to extensive records and information, some of which is only available to registered valuers and licensed estate agents which can help with the valuation.
Depending on the property, access to it, and the information we have available, we may require some information about the property as at the date of valuation, and this will be confirmed by the valuer when agreeing to undertake the valuation.
Clients require retrospective property valuations that date back a few weeks to sometimes more than 30 years ago. We conduct retrospective property valuations every week, and the experience and practical knowledge to ensure that as a client you will receive a high quality report suitable for your requirements.
All retrospective property valuations follow the same process as most other valuations, with an inspection of the property being undertaken by the valuer (if possible), an assessment of the property and its specific attributes, a check and analysis of comparable sales and creation of a detailed written report.
All reports are suitable for lodgement to the ATO, and are also used by accountants, the State Revenue Office, Immigration Department and solicitors.
Retrospective property valuation reports will clearly state the date the property has been valued at, any assumption the valuer has made when undertaking the valuation and include sales evidence to support the valuation figure.
If you have any questions in regards to having a property retrospectively valued, or a backdated property valuation we can provide you with advice and report to help.
You will be able to talk to an experienced property valuer directly at all times before, during and after the valuation.
Capital gains tax is a complex area and Melbourne Property Valuation recommends you seek advice from the ATO, your Accountant or Financial Advisor before requesting a valuation as it is a completed area, and the correct date of valuation is important, as well as understanding the ATO requirements.
Below is an excerpt from the ATO website which states;
According to legal precedent, experts who assess market value should have specific knowledge, experience and judgment in that particular field. To ensure the objectivity of the report, the valuer should be independent of the interests of the party commissioning the report.
A valuation should:
- be replicable – in effect, this means the valuation should be documented and explained well enough that another person or valuer can understand how the value was determined
- preferably be undertaken by a suitably qualified and experienced person in relation to the asset being valued.
A valuation report should:
- be understandable
- objectively demonstrate the valuation process undertaken in accordance with valuation industry practices.
If you do not adequately explain the process you undertook, we may not accept that the value reached by that process is the market value.