Property Valuations In Family Law, Its Importance

The courts consider the fundamental principles guiding property valuations in family law when reviewing a dispute connected to property settlement, emphasizing the parties’ financial and non-financial contributions and subsequent demands. The Family Law’ Act 1975 examined by the courts stipulates how the property should be distributed in the likelihood of separation of a marriage or a relationship that is not yet legalized.

How do both parties agree on a property settlement? What is fair for both parties? At GANTPMV, for all asset appraisals, one of our specialties is Family Law Valuations. We will guide you through all you need to know on property valuations in family law.

A major step taken towards the settlement of the property of both parties is identifying the assets and net worth of the parties involved. Let’s explore three popular property valuations in family law cases and the procedures followed in valuing a property.

Case 1: When the parties accept the property’s value

This is the best-case scenario when seeking orders from the court for parties involved in any property settlement issue if the parties agree on the property’s value. The court, without objection, consents to the property valuation agreed upon by the parties. The parties can explore the property market in their local area and get the best value for the property. In addition, for property appraisal purposes, the parties can seek more advice from an experienced asset appraisal company.

Case 2: When the parties do not agree on the property’s value

Where the parties in a property settlement dispute cannot agree on the property’s value, they are advised to consult an experienced property valuer-GANT PMV for all asset appraisals. In some cases, the property valuation is done at a cost borne by either of the parties or both or as determined by the court. At the court’s request, the property valuer presents an affidavit of the valued property. The affidavit is then filed in court by the parties.

Case 3: When both parties can’t agree on a property valuer

In a case where the parties may disagree on the property valuer to be adopted, the parties are free to:

Request the service of an independent body like the Australian Property’ Institute for a property valuer to be appointed.
Apply to the court for a real estate professional (property valuer) to be appointed.
Seek the services of different property valuers. In this case, the property valuers must meet and get a report prepared before a hearing in court. The court makes use of the report to address any unresolved issues from the parties.
Permit the court’s arbitration on the property’s value. Here the parties are expected to provide reports (if available) from property valuers.

The Processes Involved in Valuing a Property

A property valuation is an assessment of the value of a property based on the property’s condition, location, and several other factors. The property valuations in family law process is stipulated in the Act-The Family Law Act 1975 (Cth). The Family Law Act outlines specific requirements for the filing of property valuation reports by property valuers. The parties must note this when they seek the service of a property valuer and ensure the valuation report complies with the Act.

A property valuer determines an asset value based on the market value of the asset. The market value of a property is how much the buyer is willing to make payment for the property. If all parties consent to the valuation, the court does not question the steps taken to arrive at that property valuation. In the case where the parties don’t consent to the valuation, the court may seek to know how the property valuer valued the property.

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