You do not need a formal valuation for every asset after separation. If you and your former partner can agree on a value using reliable information, that may avoid unnecessary expense. Where an important value is disputed, an independent valuation can give negotiations a sounder starting point. Agreeing the asset, valuation date and instructions is often as important as choosing the valuer.
A valuation answers what an asset or interest is worth on stated assumptions. It does not decide who owns it, whether it is available for division or what share each person should receive. Debts, tax and the wider property settlement still need separate attention.
A financial resource is also different from property you presently own. For example, access to financial support may be relevant to a settlement without being an asset that can simply be transferred between the parties. Your lawyer should identify the legal issue before anyone attaches a value to it.
Start by identifying what needs to be valued
For a house, the issue may be its current market value. For a company, it may be the value of one person’s shares rather than every asset appearing in the company accounts. For a professional practice, the expert may need to consider how dependent earnings are on the individual working in it. Those are different questions and may need different expertise.
A trust also needs careful legal analysis. Being named as a beneficiary does not, by itself, establish a fixed share of the trust’s assets. The trust documents, control and relevant rights must be considered before deciding what interest should be valued. A valuer should not be asked to resolve a disputed legal ownership question without suitable instructions.
Vehicles and ordinary household items may be capable of agreement using market evidence. Superannuation has its own information and valuation requirements; an account balance will not necessarily be an adequate valuation for every type of interest. Identify where expert work is likely to make a material difference before commissioning several reports.
Appraisal valuation and expert evidence
| Information | What it can help with | Its limitation |
|---|---|---|
| Agent’s market appraisal | An initial discussion about a property’s likely selling range | It may be prepared for marketing and may not contain the reasoning or formal requirements needed for court evidence |
| Independent valuation | An opinion about a specified asset or interest at a stated date | Its reliability depends on the expert’s competence, records, instructions and assumptions |
| Expert report for court | Evidence addressing the identified dispute under the applicable expert rules | It must meet procedural duties and can be questioned; the Court decides what weight to give it |
These categories can overlap. An independent valuer may prepare a report suitable for court, but a short opinion obtained for another purpose does not automatically become compliant expert evidence. Tell the proposed valuer what the report will be used for before accepting the engagement.
Who chooses the valuer and who pays
You can propose a suitably qualified independent expert and ask the other party to agree on the appointment and instructions. Relevant experience matters: a suburban house, a minority shareholding and a professional practice may require different expertise. Ask about conflicts, the scope of work, fees and the information needed to begin.
In court proceedings, Part 7.1 of the Family Law Rules governs expert evidence. It supports the use of a single expert on an issue and controls additional expert evidence. A single expert’s duty is to the Court, rather than to the party who prefers a particular result. A jointly appointed expert is not mandatory in every private negotiation, but separate competing reports can increase expense.
Agree how the initial invoice will be paid before instructing the expert. Parties may agree to share it, one may advance it or a court order may determine payment. Who initially pays does not necessarily settle how that cost will ultimately be treated. Ask whether inspection, clarification questions, updated work and attendance at court attract further fees.
What information the valuer may need
For real estate, gather the address, title details, relevant leases, plans and information about the property’s condition. Disclose matters that could affect the value, such as access problems or restrictions. A report based on an assumed inspection or incomplete property information may need qualification.
For a business, the requested material may include:
- Financial statements, tax returns and current management accounts.
- Company and trust records showing the ownership and structure.
- Loan accounts, debts and related party transactions.
- Information about wages paid to owners and unusual expenses or income.
- Major contracts, leases and information about changes in trading.
Do not treat that list as permission to withhold other relevant records. Since 10 June 2025, the Family Law Act expressly includes financial disclosure duties in the relevant property proceedings and their preparation. The Australian Government explains the property law changes. Accurate valuation work depends on accurate disclosure.
Why the date debts and tax matter
A value is tied to a date. A house appraisal obtained soon after separation may be out of date by the time settlement is being negotiated. Trading changes can also affect a business. Ask whether the report remains suitable for the decision being made and whether a targeted update would be enough.
Keep the gross value of an asset separate from debt secured against it. A house worth a stated amount is not the same as that amount being available for division when there is a mortgage. Check the date of the loan balance as well as the valuation date.
For a company, establish whether a reported figure already allows for particular liabilities or includes assets also listed elsewhere. Otherwise, debt can be deducted twice or the same asset counted twice. The expert’s report and the settlement balance sheet need to use consistent assumptions.
Tax and sale costs also require advice. A proposed transfer, a sale and retaining an asset can have different consequences. Do not simply subtract an assumed tax amount from every asset or assume that a family law transfer has no tax consequences. Ask your lawyer and tax adviser which liabilities are relevant to the proposed transaction.
What to do if you disagree with the report
Start with the reason for the disagreement. Has the valuer used the wrong floor area, missed a debt, relied on old accounts or misunderstood the interest being valued? A specific question supported by a document is more useful than saying the number feels too high.
Your lawyer can identify the applicable process for clarification, questions or further evidence. Court proceedings have rules and deadlines; you cannot assume that commissioning another report will allow it to be used. A material change after the valuation date may call for updated work rather than a dispute about whether the original report was wrong.
An agreed expert’s report can help resolve a dispute without automatically binding everyone to the figure. Read what was agreed about the expert’s role and obtain advice before accepting a settlement based on it.
A fictional example of a valuation disagreement
Alex and Sam are negotiating a settlement involving a small business. Alex relies on an old set of accounts. Sam points to more recent trading and says the business is worth more. They agree to obtain an independent valuation of the relevant shareholding, using current records and written instructions.
The report identifies an amount owed by the company to Alex separately from the shares. Their advisers check that the loan and the shares are treated consistently in the settlement figures. The valuation helps them understand the assets being discussed; it does not determine either person’s percentage entitlement. This example is fictional and illustrates a process, not a likely outcome.
Arrange an appointment
If a disputed house, business or other asset value is holding up your settlement, arrange an appointment with The Family Lawyer. Bring the available appraisals or reports, current financial records and any proposed expert instructions so the next step can be considered in context.