Who orders this
- Executors and estate trustees
- Estate lawyers and notaries
- Accountants preparing the final tax return
- Beneficiaries buying out siblings or taking title
Date of death property appraisal
When someone dies, Canadian tax rules generally treat their capital property as disposed of at fair market value immediately before death. The estate’s accountant needs a defensible value for any real estate, and a date of death appraisal provides one. Because the effective date is in the past, it is a retrospective report: the appraiser uses sales from around that date and the condition of the home at the time.
- Final tax return and capital gains on property other than a principal residence
- Equalizing shares when one beneficiary keeps the home
- Setting a listing price for an estate sale
- Supporting the estate inventory and accounts
Property appraisal for probate
Many provinces ask for the value of the estate’s assets when an executor applies for probate or a certificate of appointment, and in some provinces fees or estate tax are based on that value. Practices differ, so your lawyer will confirm what is required across Canada. A written appraisal gives the court filing and the beneficiaries a clear, independent figure instead of an estimate based on a tax assessment.
Estate homes are often vacant, full of belongings or in need of updating. That is normal and the appraiser accounts for it. Give us a contact who can provide keys or a lockbox code, and mention any known issues such as water damage or a furnace that has been shut off.
Frequently asked questions
Do I need an appraisal to settle an estate across Canada?
It is often wise and sometimes required. The executor needs a value for the final tax return, probate filings and dividing the estate fairly. An independent appraisal protects the executor if a beneficiary or the tax authorities later question the figure. Ask your lawyer or accountant what they need.
What is a date of death appraisal?
It is a retrospective appraisal that estimates the property’s market value on the day the owner died. The appraiser uses sales and market evidence from that time. It is commonly used for the deceased’s final tax return and for estate accounting.
Can the appraisal be done after the house is cleared out or sold?
Yes. The appraiser values the property as it was on the date of death, using photos, listings and records if the home has changed. If it has already sold, the sale itself becomes useful evidence, though the appraiser still looks at the market as of the effective date.
Is a property tax assessment good enough for probate?
Assessments are set for taxation on a mass basis and a fixed date, so they rarely match market value on the date of death. Some filings may accept them, but your lawyer may prefer an appraisal to avoid questions later.
Who pays for an estate appraisal?
The appraisal is usually an estate expense paid from estate funds, since it serves the administration. If the estate account is not open yet, an executor can pay and seek reimbursement. Your lawyer can confirm how to handle it.