24-Hour Gift-Tax Appraisals for Real Estate (Form 709)
Fair market value of gifted real estate on the date of transfer, for the gift-tax return.
Transferring a house, or part of one, to a relative or into a trust? The gift's fair market value on the date of transfer belongs on the federal gift-tax return, and an appraisal from a qualified appraiser is the usual way to support it.
Gift returns cluster around deadlines
Form 709 is generally due by April 15 of the year after the gift, and planning moves such as deeding a share into a trust or closing a family sale before December 31 tend to pile up near deadlines. A 24-hour report keeps the return from waiting on the appraisal.
What the IRS wants to see
- Treasury regulations describe what an appraisal attached to a gift-tax return should contain: the dates, a description of the property, the appraisal process, assumptions and limiting conditions, the information considered, the methods, and the reasoning behind the value (Treas. Reg. §301.6501(c)-1(f)(3)).
- Adequate disclosure starts the IRS's three-year window to question the reported value; without it, that window can stay open.
- The regulation's appraiser requirements cover qualifications and independence, so the appraiser can't be the donor, the recipient or a family member.
What to send
- The date of the gift (usually the deed or recording date)
- The share being given, if it is less than the whole property
- Photos and property details
Send photos with your order through the upload page, or attach them to a reply to your confirmation email.
Is a desktop appraisal right for this?
The adequate-disclosure rules focus on the appraiser's qualifications and the contents of the report. They don't call for a physical inspection, and for most single-family and condominium gifts a desktop appraisal supplies what the return needs. Cwift values the property itself; if you are giving a fractional interest, any discount for a partial interest is a separate analysis, typically by a business valuation specialist.
Prepared for every purpose on this site. Brian Ward has prepared desktop appraisals for every purpose listed on this site. Some situations still call for an inspection-based appraisal, so check with your attorney or tax advisor before you order to be sure a desktop report fits your matter.
Questions
Do I need an appraisal if the gift is small?
Most real estate gifts exceed the annual exclusion, but thresholds change. Your CPA or attorney can confirm whether a return is required and how the value should be supported.
Can you appraise a gift that was made last year?
Yes. The appraisal is developed as of the transfer date, using sales from that period.
Often ordered alongside
Family Transfers & Co-Owner Buyouts
A fair, documented price when a home changes hands inside the family.
24-hour details →
Date of Death & Step-Up in Basis
Retrospective value on the date of death to support the heirs' new tax basis.
24-hour details →
Trust & Estate Administration
Certified values for trustees and executors: accountings, distributions and trust sales.
24-hour details →Need this appraisal by this time tomorrow?
Start the order now. Payment and photos start the 24-hour clock, any day of the week.