Appraisal Requirements
Placer Land Trust relies on qualified appraisals to determine the value of preserved land.
When a landowner donates land or a conservation easement to Placer Land Trust valued at or above $5,000 and seeks a charitable income tax deduction for a gift or bargain sale of the land or easement, a qualified appraisal is required. Likewise, a qualified appraisal is required for projects for which Placer Land Trust uses funding from public sources and some private foundations. For projects utilizing funds from the State of California, appraisals must be approved by the Department of General Services.
The appraised value of the land or conservation easement may be used to determine the maximum sale price, and can help determine landowner tax benefits.
The obligation to pay for an appraisal depends on which party to the transaction needs to determine fair market value, and can often be shared. The landowner’s willingness to commission and/or pay for an appraisal in an important in demonstrating the landowner’s commitment to the land conservation project, giving Placer Land Trust (and project funders) some assurance to justify its expenditure of staff time and resources on the project.
For more information about appraisals, download the Trust’s Appraisal Fact Sheet.