An appraiser involved in step-up in basis valuation plays a critical role in determining the fair market value of assets for estate purposes. When a person passes away, their assets receive a step-up in basis for tax purposes, meaning the value of these assets is adjusted to their current market value at the time of the owner's death, potentially reducing capital gains taxes for heirs.

The appraiser is entrusted with the meticulous task of assessing and determining the accurate value of various assets—real estate, investments, personal property, or other holdings—on the date of the owner's death. This valuation demands a comprehensive understanding of market trends, asset valuation methodologies, and an astute ability to evaluate the specific nature and condition of each item.

The appraiser conducts a thorough examination, often considering factors such as the current condition of the asset, comparable sales data, the economic landscape, and any unique characteristics or circumstances affecting the value. They meticulously research and analyze, leveraging their expertise to provide a detailed, well-documented appraisal report that substantiates the fair market value of the assets in question.

Their evaluation is instrumental in assisting estate executors, beneficiaries, and tax authorities in accurately establishing the stepped-up basis for the inherited assets. This valuation becomes pivotal in determining the potential capital gains tax liability when the heirs decide to sell the inherited assets in the future.

Ultimately, the appraiser's role in step-up in basis valuation involves a judicious, comprehensive, and impartial assessment to ensure that the valuation accurately reflects the fair market value of the assets, offering clarity and transparency in estate settlement and tax implications for the beneficiaries.

There are many situations where you might need an appraisal of property that states an opinion of what the properties current market value is, or perhaps the market value on a date some time ago, rather than when the appraisal is ordered. For estate tax purposes or disposition of the assets of a decedent, a "step up in basis" is often required. A step up in basis is the change in the value of an asset inherited upon the owner's death. The taxable gain is then calculated based on the fair market value at the time of death, not the fair market value at the time the asset was purchased. (Sometimes, the executor of the estate may choose to have the date be six months after the date of death -- but the same principles apply.) Please consult your attorney and/or accountant for tax and legal advice.

For years, many attorneys, accountants, executors, private parties and others have chosen and relied on Tom Berge, Jr. and Berge Company Real Estate Appraisers for 'Step Up in Basis' valuations. Berge Company Real Estate Appraisers is happy to provide references upon request.