Dividing marital property during a Virginia divorce is not an easy process. Spouses often find themselves becoming emotional about certain assets, such as the marital home. They may disagree about the most equitable way of dividing those resources. They may also find it challenging to reach an appropriate valuation for those assets. In general, couples preparing for property division need to know what their resources are worth to negotiate with one another or reasonably present their side of the case during litigation. Spouses may fight over who retains which assets and also what assets are part of the marital estate.
Disagreeing about the value of certain assets is also a common issue at arises in complex Virginia divorces. How can couples accurately value marital property in a Virginia divorce?
Asset valuation can be a complex process
There are many considerations when trying to establish a reasonable value for higher-worth assets. For example, spouses generally need to establish a fair market value, but that amount can fluctuate drastically from year to year or from even one month to the next.
The property division rules in Virginia actually clarify how to approach the valuation process by establishing a date. Generally, the date of the hearing in front of the family courts is the date that matters for the purposes of asset valuation. Particularly when looking at real property or investments, knowing the right date to use for valuation can be crucial for accuracy.
It can be prohibitively difficult for the average individual to accurately estimate the fair market value of certain resources even when they know the timing of the valuation. Frequently, valuation involves bringing in professionals for assets worth a substantial amount. Business holdings, investments, collections and real property are some of the assets that may warrant the involvement of an outside professional to set a realistic fair market value. In scenarios where spouses disagree with the value set by a professional, each spouse might have a valuation performed. They might then take the average value when comparing the two valuations.
Those concerned about accurately valuing marital property may need to discuss about their upcoming complex property division proceedings with a skilled legal team to better ensure that their interests are protected. Better understanding the Virginia approach to property valuation is just one reason why seeking legal guidance can be beneficial for those preparing for a divorce.