How Retrospective Property Valuations Work

A retrospective valuation states what a property was worth on a past date, using the sales evidence and market conditions of that time and records of the property as it was then. It is prepared today but written as if the valuer were standing on the valuation date, without the benefit of hindsight.

Retrospective valuations are common in tax, estates and separation, where the date that matters has already passed. This guide explains how a valuer rebuilds the past, what they can and cannot use, and how to get a stronger result.

When is a property valued at a past date?

• Capital gains tax: the day a home was first rented out, the date of a gift or a transfer to family or a trust, or 30 June 2027 once that date has passed. See CGT valuations.
• Estates: the date of death, which in some cases sets a beneficiary’s cost base for capital gains tax.
• Separation: an agreed date, such as the date of separation. See family law valuations.
• Stamp duty: the date of a transfer, where a revenue office asks for evidence of value after the event.
• Self-managed super funds: the date a fund acquired a property, or a past 30 June.

How does a valuer value a property at a past date?

The method is the same as for a current valuation. What changes is the evidence.

1. Fix the date and the purpose. The report states the valuation date, the date it was issued and that it is a retrospective valuation. The ATO lists these among the details it expects a valuation report to show.
2. Rebuild the property as it was. The land, zoning, the dwelling, its size, layout and condition on the date, not today. Changes made since, such as an extension, a new kitchen or a subdivision, are taken out of the picture.
3. Find sales from around the date. The valuer looks for comparable properties that sold before and around the valuation date, paying attention to when each price was agreed.
4. Adjust each sale. Each comparable is adjusted for differences in land, building, condition and location, and for any market movement between its sale date and the valuation date.
5. Cross-check and conclude. The ATO recommends a second method where possible. For a home, that might mean testing the result against how prices in the area moved. For leased commercial property, a valuer commonly also considers the income the property earned at the time.

Can the valuer use what happened after the valuation date?

Only to understand the market as it stood on the date. Market value assumes a buyer and seller who knew everything that could be known at the time, but not the future. The ATO’s guide says their prudence is judged by the state of the market at the valuation date, not with the benefit of hindsight. It also lists reliance on post-valuation date information, and on future events that could not reasonably have been foreseen, among the common problems it sees when it reviews valuations.

What records help a retrospective valuation?

An inspection today shows the property as it is now. For a past date, records of what the property was like do the work an inspection would. Useful records include:

• the contract of sale and settlement statement from when it was bought
• building plans, approvals or permits, and occupation or occupancy certificates
• invoices and dates for renovations, extensions, pools and outbuildings, both before and after the valuation date
• photos from around the date, including old sales or rental listings
• rates or land tax notices from the period
• for apartments and townhouses, strata records showing any major works
• for rented property, the lease and the rent at the time.

If something cannot be found, the report states what the valuer has assumed. A clear assumption is easier for an accountant, auditor or court to test than an unexplained figure.

How far back can a property be valued?

As far back as reliable evidence allows. In New South Wales, for example, the NSW Government publishes bulk property sales data going back to 1990, and individual sales can be searched back to 2001. For older dates the evidence is thinner, so the valuer may need to look wider for comparable sales, and the report says so.

Sooner is still better. The ATO says it is best to get a market valuation of your home when you first use it to produce income, though you can arrange one later if necessary. For the 30 June 2027 changes, the Australian Property Institute suggests that a valuation prepared close to the date, ideally three to four months after 1 July 2027 and at most within two years, is more reliable than one prepared years later. Records are easier to find and the comparable sales are fresh.

Does a retrospective valuation need an inspection?

Not always. The valuer cannot inspect the property as it was, so records and sales evidence do much of the work, but an inspection of the property as it is now can still help, especially where the building is largely unchanged or the property is unusual or high value. For some standard homes and vacant lots, a desktop assessment built on records and sales evidence may be enough. The Australian Property Institute, a professional body for valuers, recommends an inspected valuation where the tax system relies on the value.

Some purposes set their own rules. For some transfers, Revenue NSW asks for a comprehensive valuation that shows the property was inspected, and the ACT Revenue Office expects a full valuation report by a certified practising valuer. If an inspection is needed, we tell you before anything is booked or charged. Stamp duty and related-party transfer valuations are quoted individually, and a desktop assessment is not offered for them.

How much does a retrospective valuation cost?

Request a retrospective valuation with the address, the date and the purpose, then email us any records you have, quoting your reference. We confirm the fee and the timing in writing before anything is booked or charged. More detail is on the retrospective valuations page.