understanding inheritance property valuation

In France, real estate included in an inheritance must be declared at its fair market value on the date of death, which serves as the basis for calculating inheritance tax and for sharing assets between heirs. A property that is underestimated can expose the heirs to tax reassessment, while an overestimated value increases the duties to be paid and can create tensions within the family.​

why a professional valuation is essential

For succession, the law requires a serious valuation by a professional as soon as the value of the property exceeds 5 000 euros, often carried out by a notary, an expert or an experienced estate agent. This valuation relies on real transaction data, local market knowledge and a clear methodology, which provides solid justification in the event of a tax audit or dispute between heirs.​

the main methods used to value property

The most common approach is the comparative method, which consists in comparing the property with recent sales of similar homes in the same area, taking into account location, surface area, condition, view, outdoor space, parking and quality of fittings. For rented properties or buildings generating income, professionals also use an income-based method, capitalising rents with an appropriate rate to obtain a realistic market value.​