Retrospective Appraisals

Retrospective Real Estate Appraisers

A ‘Retrospective Appraisal’ is the process of determining the value of a residential or commercial property at a specific point in the past. These appraisals are generally used for resolving real estate disputes and figuring out market trends.

Appraisers will need all sorts of information, like demographic data and sales and rental records, for completing the evaluation. Similarly, they will analyze historical real estate data to find the right value of a property. Read on to learn more about retrospective appraisals and learn how you can find a quality real estate appraiser in Ontario.

Who Can Perform a Retrospective Appraisal?

Retrospective appraisals are much harder than traditional appraisals and will require a lot of knowledge and experience. For this reason, it’s highly recommended to hire a qualified AIC real estate appraiser. Likewise, the appraiser should have ample exposure to the real estate market of the region to provide an accurate estimate.

Irrespective of their experience, appraisers will always need some help from the owners for retrospective appraisals. They will need to gather all important records and documents. For example, you will be expected to provide your appraiser with legal documents and older photographs of the property if it has been requested by the appraiser.

Many residential appraisal companies in Ontario are offering this service. However, it’s highly recommended to hire someone who is experienced with retrospective appraisals and is able to have a database to provide such services. National Appraisals is one of the names you can trust. Our experienced professional appraisers provide services in multiple regions in Ontario (Kingston, Ottawa and Toronto) and have a reputation for exceeding expectations.    

Importance of a Retrospective Appraisal

Although retrospective appraisals are often linked with dispute resolution, they can serve several other purposes. For example, they can be used for estate planning and tax assessment. Often we do get inquiries for investment property appraisal with regards to tax planning and or capital gains purposes.

How to Get a Retrospective Home Appraisal?

Retrospective home appraisals help the owners to get the best price for their property. This type of residential appraisal provides an estimate of the property’s value at a specific point in the past and can prove very useful in certain situations. However, you must follow the right steps to get the desired results and here’s how you do it.

Identify the Need

You should always have a clear purpose for any residential or commercial appraisal before requesting an appraisal. The purpose or intended user of an appraisal report is crucial as the appraiser has to ensure and prepare the report in a specific format for each use or purpose. For example, a retrospective appraisal for court proceedings might be different than a divorce settlement retrospective appraisal.

Find Professional Real Estate Appraisers

Once you have finalized the need for a retrospective appraisal, it’s time to find a qualified appraiser. You can go to our contact us page. We have licensed and qualified professional appraisers that have completed retrospective appraisals for lawyers, accountants, government agencies, judges, and private homeowners.

Provide Relevant Information to the Appraiser

Appraisers need a significant amount of help from the owners while assessing a property for a retrospective appraisal. For example, they will need to look at the legal documents for confirming the age and condition of the property. Past sales and rental records and older photographs of the home can also prove beneficial for the evaluation process.

Similarly, make sure to inform your appraiser about any additions and/or improvements. All these line items can help him/her to provide an accurate estimate of the market value of your house.

Organize Your Property and Be There

Once you have scheduled the appraisal, make sure that everything’s in place before the appraiser arrives. You should also be available during the appraisal to answer any questions. This will help in getting a better evaluation because any confusion/misunderstanding can cause discrepancy between the price and the actual past value.

If you no longer have access to the property, please let the appraiser know, and when the property was sold so that the appraiser can make necessary adjustments as required.

Purposes of a retrospective appraisal

There is a wide array of reasons why an individual or an organization orders a retrospective appraisal. Some include but are not limited to: Understanding the past value of a home once a couple move in together, past value of the home for the purposes of divorce, past value of the home for CRA or capital gains purposes, value of the home in the past for personal use.

FAQ

What is a retrospective appraisal?

A retrospective appraisal is an opinion of what a residential or commercial property was worth on a specific date in the past. The appraiser values the property as it stood on that date, using historical sales, rental and market data rather than today’s conditions.

When do I need a retrospective appraisal?

Common reasons include capital gains reporting for the CRA, estate planning and tax assessment, divorce or separation, resolving a real estate dispute, and establishing the past value of a home, for example when partners moved in together. Lawyers, accountants and courts often request them.

What information will the appraiser need from me?

Expect to provide legal documents that confirm the age and condition of the property, past sales and rental records, older photographs, and details of any additions or improvements. These records help the appraiser reach an accurate value. Please also be available during the appointment to answer questions.

Can you value a home I no longer own?

In many cases, yes. If you no longer have access to the property, tell your appraiser that it has been sold and when, so the necessary adjustments can be made.

Who should complete a retrospective appraisal?

Retrospective appraisals are harder than traditional appraisals, so choose a qualified AIC-designated appraiser with strong knowledge of the local market. National Appraisals has completed retrospective appraisals for lawyers, accountants, government agencies, judges and private homeowners in Ottawa, Toronto and Kingston.

Can a retrospective appraisal be used in court or for a divorce settlement?

Yes, retrospective appraisals are commonly used in legal and family matters. The report is prepared for a stated purpose and intended user, so a report for court proceedings can differ from one prepared for a divorce settlement. Tell us the purpose and the valuation date when you order so the report is prepared in the right format.