How are assets valued for probate?

When it comes to probate law in Hawaii, the assets owned by a deceased person must be valued in order to distribute them among the heirs and beneficiaries properly. The value of the assets can be determined in several ways. The first way is to look at the “fair market value” of the asset which is the amount of money that a buyer would be willing to pay for the asset on the open market. Property appraisals, moving appraisals, and business appraisals can be used to determine the fair market value of an asset. In addition, assets can also be valued based on a “substitute value” which is the cost of replacing the asset with a similar or equivalent item. For example, if an item is irreplaceable, the cost of replacing it with something similar can be valued. This is often the case for antiques and collectibles. The third way to value assets for probate is known as “actual value” which is the original cost of the asset. This is most commonly used for property, stocks, and bonds. For example, if a stock was purchased for $10,000, the actual value of the stock would be $10,000. Each asset must be carefully evaluated based on its individual characteristics and its purpose in the deceased person’s estate. The proper valuation of the assets is an important part of the probate process. This ensures that all heirs and beneficiaries are equitably provided for based on the terms of the deceased’s will or trust.

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How are assets valued for probate?

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