Historical Appraisals – When and Why is a Historical Appraisal Required?

Historical Appraisals (Retrospective Appraisals)

Historical appraisals (also known as retroactive appraisals) are performed when a situation requires an appraisal of property to determine Market Value where the effective date of the appraisal is a date in the past.

Banks and lenders usually require a real estate appraisal in order to determine that the value of a property (the Market Value) is at least as much as the value of the loan that the lender will be making on the property. The effective date of this type of appraisal is the date that the report is written. These are the most common type of real estate appraisals.

Other situations may require an historical appraisal to determine Market Value as of a specific date in the past.

Some instances of when an historical appraisal (retroactive appraisal) would be necessary are:

  • to determine the value of property as of the date of a death (date of death valuation) or the date of a divorce of the owners.
  • to determine a decline in value of a property that you sold at a loss (like an investment property) in order to claim a loss for tax purposes.
  • to determine the market value of property as of the date that a taxing district assessed the value for property taxation.
  • In order to facilitate the appraisal of property as of a date in the past, you may need to provide records such as deeds, inspection records or photographs that can substantiate the condition of the property at the time the records were created. The appraiser will use this information as well as historical market data (such as sales in the Multiple Listing Service (MLS)) and construction data (cost to build) to determine the market value of the real estate as of the date required.

    If you need an appraisal for an divorce, or for dividing assets, of for another reason that requires an historical appraisal, please email info@theappraisaliq.com, or call (512) 541-2107 for more information.

Divorce Appraisals

Divorce Appraisals for Real Estate

Unfortunately, divorces happen, and when they do, assets need to be divided. One of the largest assets for many people is their home. Before a divorce can be finalized, the value of the home needs to be determined by a residential real estate appraisal. When you know the value of your property, you have information you need to make a decision – does one person get the house (perhaps by buying out the other person), or will the property be sold and the proceeds divided along lines similar to the rest of the division of assets?

Use a Certified Residential Appraiser

In Texas, a licensed real estate appraiser, preferably a Certified Residential Appraiser, should perform divorce appraisals in order to obtain an appraisal that will hold up (i.e, be defensible) in court.

Attorneys, as well as Accountants rely on professional property appraisals when calculating the values for real property.

We Have the Experience You Need

Don’t trust your divorce appraisal to an entry-level, licensed appraiser. You need a Certified Residential Appraiser to perform your realty appraisal.

In divorce cases, the date for which the property needs to be appraised is frequently different than the date the appraisal is requested – the date is usually in the past. Sometimes,more than one date in the past is of interest. Appraisal IQ is experienced in handling appraisals where the date of the appraisal is different than the date the report is ordered, or the date the appraisal is performed.

Retrospective Appraisals

For this type of appraisal, called a retrospective appraisal, the effective date needs to match the date of the divorce, or another key date in the past.

Appraisal IQ adheres strictly with the Uniform Standards of Appraisal Practice (USPAP), which means the details we receive that are necessary to perform a property appraisal for a divorce will be handled with discretion and confidentiality.

Line Your Financial Ducks Up

If you need an appraisal for a divorce, or for dividing assets, please email info@theappraisaliq.com, or call (512) 541-2107 for more information.