What is a deceased estate valuation?
A deceased estate valuation is an independent market value report of real property held by the deceased, effective at the date of death and prepared by a Certified Practising Valuer to API Professional Practice Standards. It is the foundational figure for probate, equitable distribution between beneficiaries, family provision (TFM) claims, and the CGT cost base inherited under s128-15 ITAA 1997.
"If you owned a CGT asset that passes to a beneficiary in your estate, the beneficiary is taken to have acquired the asset on the day you died."
Why an independent date-of-death valuation matters
Beneficiaries inherit the deceased's CGT cost base for post-CGT property and market value at date of death for pre-CGT property. An independent valuation:
- Resets the cost base correctly under s128-15 ITAA 1997.
- Supports an equitable distribution between beneficiaries.
- Provides evidence in family provision (TFM) claims.
- Establishes the dutiable value for state revenue purposes (in some jurisdictions).
- Protects the executor from challenge by beneficiaries or the ATO.
How the valuation is used downstream
A single date-of-death valuation may be relied on across several different processes — each with its own audience and standard. We draft to satisfy all of them.
| Use | Audience | Standard |
|---|---|---|
| Probate / letters of administration | Supreme Court | State probate rules |
| Equitable distribution | Beneficiaries | API Professional Practice |
| CGT cost-base reset | ATO | ATO MVPI |
| Family provision (TFM) claims | Court | Expert witness rules |
| State revenue / stamp duty | State revenue office | Statutory definitions |
What we need from the executor
We can usually proceed with minimal documentation. Helpful items include the date of death, a copy of the title or rates notice, access details for inspection, and any recent sale records or improvements made by the deceased. We can also liaise with the estate's solicitor and accountant directly to coordinate timing and delivery.
Sensitive inspection arrangements
Inspections during a bereavement are difficult. Where the property is occupied by family members, tenanted, or in transition, we coordinate inspection times that respect everyone's circumstances. Where the property has been cleared and is on the market, a desktop or kerbside methodology may be appropriate and is clearly documented in the report.
The two-year main residence disposal window
Where the deceased's home is sold within two years of death (extendable on application), the gain is generally fully exempt under s118-195. A date-of-death valuation is still recommended — it establishes the cost base for any sale outside the window and provides a paper trail if the period is later extended.
How it works — five steps
- 1
Brief & quote
Email the property address, the relevant date, and a short note on the purpose. We return a fixed-fee quote within 2 business hours for deceased estate valuations.
- 2
Inspection
A Certified Practising Valuer (API) attends the property for an internal and external inspection. Tenanted properties are coordinated directly with the occupier.
- 3
Comparable sales analysis
We research settled sales using RP Data, Pricefinder, APM and council records, applying the direct-comparison and (where relevant) capitalisation approaches.
- 4
Report drafting
The report is drafted to API Professional Practice Standards and the ATO Market Valuation Practice Instruction (MVPI), with full comparable schedules and signed certification.
- 5
Delivery
The signed PDF is delivered to you and (on request) directly to your accountant, solicitor or auditor within 5 business days of inspection.
Glossary
Plain-English definitions of the terms used in this report and in related ATO guidance.
- Section 128-15 ITAA 1997
- Sets out the CGT consequences when a CGT asset passes to a beneficiary, executor or legal personal representative on death.
- Letters of administration / probate
- Court orders authorising someone to administer the estate. Many state Supreme Courts require asset values supported by a registered valuation.
- Family provision (TFM) claim
- An application by an eligible person for further provision out of the estate. The Court requires independent asset values to determine the size of the estate.
- Two-year main residence disposal
- Section 118-195 — full exemption where an inherited main residence is sold within two years of death (extendable to four on application).
- Pre-CGT asset
- Acquired before 20 September 1985. The beneficiary's cost base is the market value at the date of death, not the deceased's original cost.
- Legal personal representative (LPR)
- The executor named in the will or the administrator appointed by the Court. The LPR steps into the deceased's CGT position until the asset passes to a beneficiary.