Divorce Appraisal

Dividing your largest asset

Divorce is one of the most painful events a couple can go through, and after custody, the most contentious issue is often the marital home. Splitting the furniture is one thing. Dividing your largest investment is another matter entirely.

There are generally two options: sell the property and divide the proceeds, or have one spouse buy out the other. In either case, a divorce appraisal is crucial to establish fair market value.

Why a professional appraisal matters

In a matter this significant, an appraisal based on speculation is insufficient. You need a well-supported, justifiable appraisal that meets Federal, California, IRS, and Treasury standards and can hold up in court.

Retrospective divorce appraisals require the effective date to align with the date of marriage, separation, or another date the court has set, rather than the inspection date. I handle these with the objectivity the matter requires.

Objectivity, confidentiality, integrity

We have completed numerous appraisals throughout California and strictly adhere to USPAP. If you need a divorce appraisal or any valuation for dividing property assets, contact us for more information.

Who orders this appraisal

• Family law attorneys
• Divorcing spouses
• Mediators
• Forensic accountants

The rules that govern it

Family Code §760, community property, Property acquired by a married person during marriage while domiciled in California is presumed community property, wherever it is situated. Property owned before marriage, or received during it by gift or inheritance, is separate under §770. Characterisation is a legal question for the attorneys, but it determines what the appraiser is actually being asked to value.

Family Code §2552(a). Value as near as practicable to trial, The default is NOT the date of separation. The court values assets "as near as practicable to the time of trial". In a rising or falling market that difference can be substantial, and it is the single most common misunderstanding in divorce valuation.

Family Code §2552(b), alternate valuation date, On motion of a party, and for good cause shown, the court may value an asset at a different date. Date of separation is the usual alternative. Because the date is litigable, an appraiser is often asked for value at more than one effective date so each side can see the exposure.

Moore/Marsden, apportioning separate and community interests, Where one spouse bought the home before marriage and community earnings paid down the loan during it, both estates hold an interest. Apportioning them can require value at the date of marriage, at separation, and at trial, three retrospective assignments on one property.

Evidence Code §730, court-appointed expert, A court may appoint its own expert where an issue requires one. In practice most family law appraisals are jointly retained by the parties rather than court-appointed, which produces one neutral opinion instead of two opposed ones.

How it works

1. Confirm with counsel which effective date or dates are in play, trial, separation, or both, before any inspection, because it changes the entire assignment.
2. Establish who the client is and who may rely on the report: jointly retained neutral, one party's expert, or court-appointed under §730.
3. Inspect, or document the limitation where one spouse controls access and will not grant it.
4. Develop value from sales that had closed as of each effective date, keeping the analyses separate rather than blending them.
5. Deliver a report written to withstand a competing expert, and remain available for deposition or testimony.

What you receive

Neutral appraisal report, with deposition and testimony available if the matter is litigated. Standard turnaround is 1–3 weeks. Rush appraisals available for urgent deadlines.

Common questions