August 27, 2025

How to Value an Estate in Ontario: Listing Assets, Debts, and the Estate Inventory

How to value an estate in Ontario: build a date-of-death inventory of assets and debts, see what counts for probate fees, and follow a clear worked example.

One of your first big jobs as an estate trustee (the person legally in charge of settling the estate, often called the executor) is to figure out what the estate is worth. This guide walks you through building a clear list of everything the person owned and owed, valued as of the day they died.

Why Getting the Value Right Matters

Putting a careful value on the estate is not just paperwork. Three important things depend on it.

• It sets the probate fee. Ontario charges an Estate Administration Tax (commonly called probate fees) based on the value of the estate: nothing on the first $50,000, then $15 for every $1,000 (or part of a thousand) above that. Guess too low and you may have to correct your filing and pay more later.
• It supports your accounting. As estate trustee, you must one day account for every dollar. A clean starting inventory is the foundation of that record.
• It keeps beneficiaries confident. Beneficiaries (the people who inherit) are far more trusting when they can see an honest, organized list of the assets and debts.

In short, an accurate inventory protects you and keeps the whole process running smoothly. You do not need to be perfect to the penny. You do need to be reasonable, consistent, and able to explain how you reached each figure if a beneficiary or the government ever asks.

Value Everything as of the Date of Death

In Ontario, you value the estate as it stood on the date the person died - not today, and not the day you finally get around to the paperwork. You are taking a financial snapshot frozen on that one day. Markets move and prices change, but for the estate the numbers are locked to that date.

What Fair Market Value Means

Fair market value is the price an item would sell for between a willing buyer and a willing seller, with neither under pressure. For a used car, that is roughly what a private buyer would pay. For a home, it is what it would realistically sell for on the open market. You are not looking for a rushed 'quick sale' price or an inflated wish price - just a fair, honest number that you can back up.

What to Include in the Estate Inventory

Your inventory should capture everything the person owned in their name alone. Work through these categories one at a time so nothing slips through the cracks.

Real Estate

• The family home, a cottage, rental properties, or vacant land
• Support the value with a recent professional appraisal or a written opinion from a real estate agent
• Note any mortgage or line of credit registered against the property (more on debts below)

Bank Accounts and Investments

• Chequing and savings accounts, plus the exact balance on the date of death
• GICs, term deposits, and any cash on hand
• Non-registered investment and brokerage accounts
• RRSPs, RRIFs, and TFSAs (watch for named beneficiaries - see below)

Vehicles and Personal Property

• Cars, trucks, motorcycles, boats, and trailers
• Household furniture and appliances
• Jewellery, art, collections, and other valuables

Business Interests

• Shares in a private company or a family business
• A partnership interest or a sole proprietorship
• These often need a professional business valuation, which can take time - start early

Money Owed to the Deceased

Assets are not only the things you can see and touch. If money was owed to the person when they died, that debt is an asset of the estate.

• A personal loan the deceased made to a family member or friend
• A final paycheque, commission, or vacation pay still owed by an employer
• An income tax refund the person had not yet received

What Usually Passes Outside the Estate

Not everything the person touched is part of the estate for probate. Some assets pass directly to another person by law, skipping the estate entirely. These are generally NOT counted when calculating the Estate Administration Tax.

• Assets owned jointly with right of survivorship - for example, a home or bank account held jointly with a spouse usually passes straight to the surviving joint owner
• Registered accounts with a named beneficiary - an RRSP, RRIF, or TFSA that names a specific person often pays out directly to that person
• Life insurance with a named beneficiary - the payout usually goes directly to the named person, not the estate

Be careful here. Whether an asset truly passes outside the estate depends on how it was set up and the exact wording. When in doubt, confirm with an estate lawyer before you leave something off the list.

How Debts Change the Picture

Debts matter, but not all debts are treated the same way for probate.

Secured Debts

A secured debt is tied to a specific asset. The most common example is a mortgage registered against Ontario real estate. A mortgage or other debt secured against Ontario real estate can reduce the value of that property for Estate Administration Tax purposes. So a $650,000 house with a $180,000 mortgage may be counted closer to its net value of $470,000.

Unsecured Debts

An unsecured debt is not tied to a particular asset - think credit cards, personal loans, or unpaid utility bills. These debts still have to be paid out of the estate, but they generally do NOT reduce the value used to calculate the probate fee. You will pay them, but they usually do not lower your Estate Administration Tax.

Keep a running list of debts as you build the inventory. You will need it again very soon, because paying those debts correctly and in the right order is a major task of its own.

Search Thoroughly So Nothing Is Missed

Before you treat your inventory as final, do a careful search. People often hold assets their family never knew about, and missing one can force you to re-file later.

• Go through the mail and email for statements from banks, insurers, and investment firms
• Check for older or dormant accounts, pension plans, and workplace benefits
• Look for a safety deposit box and any physical share certificates or bonds
• Ask banks about dormant or forgotten accounts, and check for any unclaimed balances
• Look into any property, accounts, or business interests the person held outside Ontario

Give this step real time. It is far easier to find everything now than to reopen a closed estate later. If assets sit in another province or country, get advice early, because they can add extra steps and costs.

Get Appraisals and Write Everything Down

For anything valuable or hard to price, get a professional to put a number on it in writing. Good documentation is your best friend if anyone ever questions your figures.

• Order a written appraisal for real estate, valuable jewellery, art, collections, and business interests
• Ask banks and investment firms for a date-of-death statement showing exact balances
• Keep every appraisal, statement, and receipt together in one organized file
• Write a short note beside each figure explaining where the number came from

If you ever have to defend your numbers - to a beneficiary, the court, or the Canada Revenue Agency - this file is what backs you up. Treat record-keeping as part of the valuation, not an afterthought.

Key Takeaways

• Value the estate as of the date of death, using fair market value
• Include everything owned in the person's name alone: real estate, accounts, investments, vehicles, personal property, business interests, and money owed to them
• Joint assets and assets with a named beneficiary usually pass outside the estate and are not counted for probate fees
• A mortgage or other debt secured against Ontario real estate can reduce the value for Estate Administration Tax; unsecured debts usually do not
• Get written appraisals and keep meticulous records to support every number