Probate Inventory and Appraisal in 2026: What Goes In It and What It Costs

Every formal probate eventually produces a document that surprises families with how much weight it carries: the inventory and appraisal. Filed a few months after the estate opens, this filing lists everything the estate owns and attaches a court-recognized dollar value to it. That single number drives statutory fees, creditor negotiations, tax filings, and what beneficiaries ultimately receive. Here is how the inventory works, who does the appraising, and the 2026 costs involved.

What the Inventory and Appraisal Actually Is

The inventory and appraisal is the estate’s official asset list, filed with the probate court and signed under oath by the personal representative. It covers every asset the decedent owned at death that passes through probate: real estate, bank accounts, investments, vehicles, business interests, jewelry, and debts owed to the decedent. Assets with named beneficiaries — life insurance proceeds, retirement accounts, transfer-on-death accounts — stay off the list entirely, which is one more reason current beneficiary designations matter so much in estate planning.

The filing has two halves. The inventory half is a factual listing prepared by the personal representative. The appraisal half assigns each asset a fair market value as of the date of death. In California, that valuation splits between two people: the representative values cash and cash-equivalent items, and a court-appointed probate referee appraises everything else. Other states handle valuation differently, but the underlying concept — an official, dated, verified asset list — exists in every formal probate nationwide.

What Must Be Listed

The inventory is comprehensive by design. Courts expect to see:

• Real property. Homes, condos, rental properties, vacant land, and any out-of-state real estate, listed by address and legal description.
• Financial accounts. Bank accounts, certificates of deposit, money market funds, and brokerage accounts titled in the decedent’s name alone, with balances as of the date of death.
• Publicly traded securities. Stocks, bonds, and mutual funds valued at the mean between the high and low price on the date of death.
• Retirement accounts payable to the estate. Rare, but when a policy or account names no beneficiary, proceeds funnel into the probate estate and onto the inventory.
• Vehicles, watercraft, and equipment. Cars, boats, RVs, motorcycles, farm machinery — valued using guidebooks like Kelley Blue Book or NADA.
• Tangible personal property. Furniture, jewelry, art, collectibles, and antiques, often grouped into a single line item unless something is individually valuable.
• Business interests. Ownership stakes in partnerships, sole proprietorships, and closely held corporations, which usually require professional valuation.
• Receivables. Promissory notes, personal loans the decedent made, and any money owed to them.

Who Does the Appraising

California runs the country’s only court-appointed referee system, in place for more than 125 years. The State Controller assigns a probate referee to each estate. The representative fills out the inventory form, values the easy items themselves (cash, bank balances, public securities), and hands the rest — real estate, businesses, tangibles, anything without a clear market price — to the referee, who appraises each item at date-of-death fair market value.

Elsewhere the picture is simpler but more DIY. In most states the personal representative prepares the whole inventory, pulls date-of-death statements for financial accounts, and hires private appraisers where needed — a real estate appraisal for the house, a dealer’s letter for a classic car, a business valuation for company stock. Courts accept reasonable professional estimates; what they do not accept are wild guesses or values lifted from the decedent’s old insurance schedule.

Filing Deadlines

The inventory runs on a statutory clock. California requires filing within four months after letters are first issued, with partial filings allowed when some assets take longer to appraise. Most other states set a similar three-to-four-month window from appointment. Missing the deadline matters: the court can issue orders to compel the filing, and persistent delays invite removal of the representative. If assets surface after the original filing — a forgotten brokerage account, an uncashed bond — a supplemental inventory covers the late additions, with a fresh referee appraisal where applicable.

What It Costs in 2026

The inventory itself rarely carries a separate court filing fee, but the appraisal machinery around it does cost money. California’s referee fee is set by statute at 0.1% of the value of the assets the referee appraises, with a $75 minimum and a $10,000 cap — and the estate pays it, not the representative personally.

Outside California, private appraisals run $300–$600 for a residential real estate appraisal, $100–$300 for vehicle valuations, and $2,000–$10,000+ for formal business valuations. Those fees come out of estate funds as administrative expenses, before any distribution to beneficiaries.

Why the Inventory Value Matters So Much

Here is the trap that catches most families: statutory fees are calculated on the gross estate value from the inventory, not the net value after mortgages. A home worth $1,000,000 with a $600,000 mortgage generates fees on the full $1,000,000. In California, where the attorney and the personal representative each earn statutory percentages, that gross number doubles the damage:

1. The first $100,000 of gross value earns 4% — $4,000 each for attorney and representative.
2. The next $100,000 earns 3% — another $3,000 each.
3. The next $800,000 earns 2% — $16,000 each.
4. A $1,000,000 gross estate therefore generates $23,000 for the attorney and $23,000 for the representative: $46,000 combined, regardless of the $600,000 mortgage.

The appraisal also sets the baseline for everything that follows. Creditor claims are evaluated against it, the final accounting reconciles to it, capital gains on any sale use the date-of-death value as the new cost basis, and estate tax returns — where they apply — report from it. Beneficiaries can inspect the filed inventory, so a padded or sloppy valuation invites objections that stall the estate.

Common Inventory Mistakes to Avoid

• Using purchase price instead of date-of-death value. The referee appraises as of the death date, not what grandpa paid for the house in 1988.
• Forgetting partial interests. A half interest in a lake cabin still goes on the inventory, at half the value.
• Leaving out digital assets and intellectual property. Domain names, royalties, and copyrights are estate assets like anything else.
• Listing non-probate assets by mistake. Life insurance payable to a named beneficiary, joint-tenancy property, and transfer-on-death accounts do not belong — including them inflates fee calculations.
• Waiting until month three to start. Gathering forty years of financial records takes longer than anyone expects; start compiling statements the week letters are issued.
• Ignoring the supplemental inventory. Assets discovered later still get reported — hiding them is a fiduciary breach with personal liability attached.

Frequently Asked Questions

What is the difference between the inventory and the appraisal?

The inventory is the list of estate assets; the appraisal is the valuation attached to each item. In California the two halves of the same form are split between the personal representative (cash items) and a probate referee (everything else).

How long does the personal representative have to file the inventory?

Most states allow three to four months from the issuance of letters. California sets four months, with partial filings and extensions available when appraisals take longer.

Who pays the probate referee fee?

The estate pays it as an administrative expense — not the personal representative out of pocket. California’s statutory rate is 0.1% of the appraised value with a $75 minimum and $10,000 cap.

Does life insurance go on the probate inventory?

Only if the policy pays the estate itself, which usually happens when no beneficiary was named. Proceeds paid to a named beneficiary bypass probate completely and never appear on the inventory.

Can beneficiaries see the inventory?

Yes. The filed inventory is part of the public court record, and interested parties can request copies. Transparency is the point — it lets beneficiaries verify what the estate holds and how fees are being calculated.

What happens if assets are discovered after the inventory is filed?

The representative files a supplemental inventory and appraisal covering the newly found assets, and an additional referee fee applies in California. Deliberately omitting known assets is grounds for removal and personal liability.

Do I need an appraisal for everything?

No. Cash, bank balances, and publicly traded securities have readily ascertainable values the representative can state directly. Professional appraisal is for real estate, businesses, and valuable tangibles without clear market prices.

Key Takeaways

• The inventory and appraisal is the court-filed, dated valuation of everything the probate estate owns — the baseline for fees, taxes, and distributions.
• California uses court-appointed probate referees at 0.1% of appraised value ($75 minimum, $10,000 cap); most other states let the representative hire private appraisers.
• Statutory fees are calculated on gross value, ignoring mortgages — a $1,000,000 house with $600,000 owed still generates fees on the full million.
• Assets with named beneficiaries never touch the inventory; only the probate estate gets listed.
• Start gathering date-of-death statements the week letters are issued — the three-to-four-month filing deadline arrives faster than anyone expects.

Related Resources on LifeQuotesWeb

• How Long Does Probate Take in 2026? — where the inventory fits in the full estate timeline.
• Estate Administration Roadmap — the representative’s complete duty list, inventory included.
• How to File a Petition for Probate — the opening filing that starts the estate.
• Small Estate Affidavit Guide — when an estate skips the inventory entirely.
• Carryover Basis and the Date-of-Death Step-Up — why the appraised value matters for capital gains.

For the official forms and referee system details, see the California Courts Inventory and Appraisal form DE-160 and the State Controller’s probate referee program page.

Protect Your Family From a Year of Probate

The fastest way to shrink the inventory — and the fees calculated on it — is to move assets out of the probate estate before they ever need to be listed. Life insurance with named beneficiaries is the simplest tool: proceeds skip probate, skip the inventory, skip the fee schedule, and typically arrive within weeks. Get free quotes on term and whole life coverage, compare carriers side by side, and give your family money that arrives long before the court closes the estate.