How to find out value of parentsʼ assets?

Managing your parents’ assets can become a necessity as they age or in the event of their passing. However, determining the value of their assets can be a somewhat complex task. To help you through this process, here are some steps you can take to find out the value of your parents’ assets.

Gather important financial documents

The first step in assessing the value of your parents’ assets is to gather all relevant financial documents. These may include bank statements, investment account statements, property deeds, insurance policies, pension statements, and tax returns.

Contact financial institutions

Reach out to your parents’ financial institutions, such as banks and brokerage firms, to inquire about their account balances and asset values. They should be able to provide you with the most up-to-date information.

Consult with a professional appraiser

Consider hiring a professional real estate appraiser or a certified personal property appraiser if your parents own valuable assets like real estate, artwork, or antiques. These professionals can give you an accurate assessment of the value of such items.

Engage an estate planning attorney

An estate planning attorney can offer valuable guidance regarding the valuation of your parents’ assets and help you navigate any legal complexities. They can also assist with understanding the tax implications of inheriting or managing these assets.

Access online resources

You can use online resources like Zillow to obtain an estimate of your parents’ real estate value or websites specializing in valuing specific collectibles like numismatics for coin collections.

Review tax assessment records

Check your parents’ tax assessment records, as they often list the assessed value of their properties. This value may not be entirely accurate, but it can provide a starting point.

Look for insurance policies

Search for any life insurance policies your parents may have had. These policies usually have a payout amount specified, which can contribute to the overall value of their assets.

Consider any outstanding debts or loans

Make sure to account for any outstanding debts or loans your parents may have had. These should be subtracted from the value of their assets to determine the net worth.

Organize records systematically

Establish a systematic approach to organizing and documenting the information you gather. This will help you keep track of all the assets, their values, and any necessary paperwork.

Discuss with your parents and trusted advisors

Have an open and honest conversation with your parents about their assets and any relevant financial matters. Additionally, consult with trusted advisors, such as accountants or financial planners, who can offer guidance and support during this process.

Update valuations periodically

Asset values can change over time, so it’s important to reassess and update valuations periodically. This will ensure that you have the most accurate and up-to-date information regarding your parents’ assets.

Prepare for potential challenges

Be prepared to face potential challenges during this process, such as outdated or missing documents, disagreements among family members, or complex legal and tax issues. Seeking professional advice can help you overcome these challenges.

Inform relevant parties

Once you have a clear understanding of your parents’ assets and their values, inform relevant parties, such as other family members or beneficiaries, as required. Open communication will help prevent misunderstandings and facilitate the smooth management of these assets.

FAQs

1. How can I find out the value of my parents’ bank accounts?

Contact your parents’ banks and request the most recent account statements.

2. Are there any online resources that can help with property valuation?

Yes, websites like Zillow provide estimates for real estate valuations.

3. What if my parents owned stocks or other investments?

Reach out to the relevant brokerage firms for the current value of their investment accounts.

4. Can I estimate the value of artwork or antiques myself?

It is recommended to consult a professional appraiser for an accurate valuation of valuable assets like artwork or antiques.

5. Should I consider hiring a financial planner?

A financial planner can provide valuable insights and advice regarding the management of your parents’ assets.

6. Do I need to review all insurance policies?

Yes, review all life insurance policies to determine their monetary value.

7. Are there any legal implications I should be aware of?

Consulting with an estate planning attorney can help you navigate any legal complexities and understand the implications of managing your parents’ assets.

8. How frequently should I update asset valuations?

It is recommended to update asset valuations periodically, especially if there are significant changes in the market or your parents’ financial situation.

9. Can I delegate this task to other family members?

If other family members are involved in managing your parents’ assets, it’s important to maintain open and transparent communication to ensure everyone is on the same page.

10. Are there any tax considerations to keep in mind?

Inheriting or managing your parents’ assets may have tax implications. An estate planning attorney or tax professional can guide you through these considerations.

11. What should I do if I cannot locate certain financial documents?

Make an effort to locate all relevant documents, but if some are missing, consult with professionals who can assist you in dealing with such situations.

12. Can I rely solely on online resources for asset valuation?

While online resources can be helpful, it’s crucial to combine them with professional advice and assessments for a comprehensive analysis of your parents’ assets.

Dive into the world of luxury with this video!