Appraisal in New Jersey Property Division Cases
Divorce proceedings can be made especially complex when they involve the distribution of large amounts of property. Before a major asset is divided between the spouses, it often must be appraised by a certified professional so that the attorneys handling the divorce case know the true value of the property in question. If you are facing issues with appraisal in your New Jersey property division case, an experienced lawyer could help you determine the value of your assets and prepare to split them with your former partner.
Process of Assigning Value
Before assets can be divided, there must be an assigned value to know what each party is going to receive. If the asset is real property, there would be an appraisal of the home or investment property that would result in its assigned value. If the property involves bank accounts or investment accounts, the value would be drawn from bank statements. It is essential that a legal team is aware of the assigned values so that they can fairly distribute the assets between the parties.
The type of property will determine who assigns value to it. If it is real property such as real estate, this person will usually be a certified appraiser who will complete an official appraisal of the property to see what the value is in the market that is being divided in. If the property is not real estate and is a possession like a collector’s item, then a specific appraiser who is knowledgeable about that particular item may do the appraisal. A knowledgeable attorney in the area could ensure that an individual gets an accurate appraisal of their property before its distribution.
Key Factors in Property Appraisal
Important factors that an appraiser may consider when evaluating a real property would be the surrounding home values, the current real estate market in the area and the location of the property. When assigning value in commercial properties or income-producing properties, the appraiser will also consider exactly how much income is generated. Usually, a legal team would want a piece of property appraised as of the date of the divorce complaint.
When a business needs to be distributed between the two parties of a divorce, a forensic accountant may need to be engaged. A specialized professional must evaluate the closely held business or the privately held business to ascertain the total value.
Once the valuation is done, a seasoned lawyer in the area could then determine the appropriate percentage of the business that each spouse should receive. Often, it is important not only to do a business valuation but to do a cash flow analysis to figure out the income stream from the privately-held business, as the owner-operator of the privately-held business is usually the breadwinner and will have an alimony obligation to the other party.
Let an Attorney Help with Appraisals in Your New Jersey Property Division Case
A divorce settlement depends heavily on an accurate and fair distribution of a couple’s marital property, which is why appraisals are essential in New Jersey property division cases. A compassionate attorney could take on your case and make sure that everything you and your spouse share is evaluated correctly and make this part of the divorce process run as smoothly as possible. Call today to set up an initial consultation.