Property Valuation for Inheritance Tax

PaulO99

The property is not being sold hence the final figures are the estimated values at time of death ie 10% to 15% higher than the MRICS independent survey carried out on 31st October 2023. 

According to a 4th estate agent property price have fallen by 10% - 15% since November 2022 (date of death). 

The surveyor was at and in the property for upward of 2 hours whereas the EAs were there for no longer than 15 min. 

The final valuation is between £80,000 and £120,000 lower than the EAs depending how you carry out the calculation. 

The EAs have said that they set the valuation high in the hope of getting the business if the property was put up for sale. 

I was prepared to accept the range of original valuations and pay the IHT required. However, when the DV stated that the value should be uplifted by an amount up to £100,000 because he had looked at indices and made comparisons with 4 properties of similar age and size without actually viewing the property first hand, I don’t think that is right and just. 

Keep_pedalling

The valuation you just got should have been based on the date of death not today’s value. 

PaulO99

PaulO99 said:

Just to update on values placed on property
3 x local estate agents between £725,000 and £750,000
DV wanted an uplift of up to £100,000
Chartered Surveyor (MRICS) as of 31st October £550,000 to £575,000
Take into account fall in property values over last 12 months of 10% - 15%
Final valuation £605,000/£632,500  and £632,500/£661,250

The chartered surveyor could only value what he surveyed on 31/10/23. That value was then amended as indicated to reflect the fall in property prices since date of death ie increased by 10% - 15%

Keep_pedalling

PaulO99 said:

PaulO99 said:

Just to update on values placed on property
3 x local estate agents between £725,000 and £750,000
DV wanted an uplift of up to £100,000
Chartered Surveyor (MRICS) as of 31st October £550,000 to £575,000
Take into account fall in property values over last 12 months of 10% - 15%
Final valuation £605,000/£632,500  and £632,500/£661,250

The chartered surveyor could only value what he surveyed on 31/10/23. That value was then amended as indicated to reflect the fall in property prices since date of death ie increased by 10% - 15%

Sorry, I misinterpreted the previous post.