A probate referee is a neutral appraiser, appointed by the California State Controller, who determines the fair market value of assets in a deceased person’s estate as of the date of death.1California State Controller’s Office. The Probate Referee Guide California is the only state that uses this system, and it has for more than 125 years. If a probate case is open in a California court, a referee will almost always be the one putting a dollar figure on the house, the business interest, the jewelry, and anything else that doesn’t have a plain cash value.
What the Referee Actually Appraises
The court’s inventory form splits estate assets into two groups. The personal representative values the first group themselves: cash, bank accounts, money market funds, and life insurance or retirement proceeds paid in a lump sum to the estate.2Judicial Council of California. Judicial Council of California Form DE-160 – Inventory and Appraisal These items have an obvious number attached, so no judgment call is needed.
Everything else is the referee’s job. That usually covers:
- Real estate, including homes, vacant land, and commercial buildings
- Business interests such as partnerships, sole proprietorships, and closely held company stock
- Tangible personal property like antiques, art, jewelry, and collectibles
- Financial assets without a clear market price, including promissory notes owed to the deceased, certain bonds, and private company stock
Life insurance and retirement accounts with a named beneficiary other than the estate are not part of the probate inventory at all. Neither the personal representative nor the referee touches them.
Who Picks the Referee
You don’t. Neither does the family or the attorney. The California State Controller appoints at least one probate referee for each of the state’s 58 counties.3California State Controller. Probate Referees When a probate case is filed, the court clerk assigns a referee from that county’s panel, generally by rotation so no one person draws a disproportionate share of cases.
How the Appraisal Fits Into Probate
The personal representative starts things off by filling out Form DE-160, the Inventory and Appraisal.4California Courts. Inventory and Appraisal DE-160 Attachment 1 lists the cash-equivalent assets with values filled in. Attachment 2 lists everything else, with values left blank. Attachment 2 goes to the probate referee.
The referee appraises each item at its fair market value as of the date of death, signs the form, and sends it back for filing. If the referee drags, the personal representative can ask the court to compel a status update, set a firm completion date, or even replace the referee.5California Legislative Information. California Probate Code 8941
The completed inventory and appraisal must be filed with the court within four months after letters of administration are first issued, though the court can extend that deadline when circumstances warrant.6California Legislative Information. California Probate Code 8800 – Inventory and Appraisal Partial filings are allowed when some assets take longer to value than others.
What It Costs
The referee’s fee is one-tenth of one percent (0.1%) of the total value of the assets they appraise.7California Legislative Information. California Probate Code 8961 – Compensation for Services On $700,000 of appraised property, that’s $700. The statute sets a minimum of $75 and a maximum of $10,000, though the referee can petition the court for more when the work is unusually complex.8California Legislative Information. California Probate Code 8963 – Minimum and Maximum Commission
The estate pays, not the personal representative out of pocket. The referee is also reimbursed for actual expenses like travel to inspect a property. One protection worth knowing: the referee cannot hold the finished appraisal hostage while waiting on payment. The law requires prompt delivery regardless of whether the commission has been paid.9California Legislative Information. California Probate Code 8960 – Commission and Expenses Paid From Estate
Can You Skip the Referee?
Sometimes. A court can waive the probate referee appraisal for good cause. The personal representative files a request, either with the initial petition or separately, but no later than the point when the inventory would normally be delivered to the referee. The petition must include a proposed inventory and appraisal and a written explanation of why a waiver is justified.10California Legislative Information. California Probate Code 8903
Courts don’t grant these waivers casually. Good cause might mean every asset already has a readily ascertainable value, or the estate is small enough that the referee’s fee is disproportionate to the work. The burden is on you to persuade the court the valuation will still be reliable.
If You Think the Appraisal Is Wrong
The personal representative or any interested person can file a written objection to the referee’s valuation at any time before the hearing on the petition for final distribution.11California Legislative Information. California Probate Code 8906 – Objection to Appraisal The clerk sets a hearing at least 15 days out, and the objector must deliver notice and a copy of the objection to the other parties and the referee at least 15 days before that hearing.
The burden of proof sits with whoever objects. In practice, that means hiring an independent appraiser to produce a competing report and showing the court why the referee’s number is off. Vague disagreement rarely wins. A well-supported appraisal from a qualified professional can.
There’s a real downside to a weak challenge. If the court finds the objection was filed without reasonable cause or good faith, it can order the objecting party to personally pay the attorney’s fees and costs the personal representative incurred defending the original appraisal.11California Legislative Information. California Probate Code 8906 – Objection to Appraisal
Why the Number Matters Beyond Probate
The referee’s valuation does more than divide property among beneficiaries. For estates large enough to owe federal estate tax, the date-of-death value is the default figure the IRS uses to calculate the taxable estate.12Internal Revenue Service. Instructions for Form 706 For decedents dying in 2026, a federal return is required when the gross estate exceeds $15,000,000.13Internal Revenue Service. Estate Tax An inaccurate appraisal can carry straight into the federal filing and show up as a penalty or an inflated tax bill.
Outside California
If the probate is in another state, there is no probate referee to deal with. In states that have adopted the Uniform Probate Code, the personal representative prepares the inventory and estimates values directly, typically within three months of appointment, and can hire a private appraiser for complex assets at their own discretion. Disputes still go through the court, but without the state-appointed referee layer that California uses.