For detailed information regarding real estate fair market valuations, please refer to the Real Estate: Fair Market Valuation Instructions & FAQs:
Statements that have unit/share balances and/or pricing information must be provided for fair market valuation purposes.
Please indicate the status and value on the Fair Market Valuation Form and sign it yourself. Provide the necessary documentation that will support the status and value. You will not need a qualified, independent third party to perform the valuation. However, in order to zero out assets from your account, the Internal Revenue Code requires specific types of documentation to do so. The following are some acceptable examples:
A value of each asset within a limited liability company (LLC) or entity is required in order to determine the value of the LLC or entity. Real estate assets owned in an LLC or entity must be evaluated by a third party. Other assets owned in an LLC or entity, such as bank or brokerage accounts, should have year-end statements proving their value.
The value of the asset may be provided by a qualified third party, but they must provide sufficient supporting documents with the Fair Market Valuation Form.