Inventory of the estate

The inventory of the estate is a complete, organized list of all assets and liabilities of the estate, which the heir must prepare at the request of a beneficiary of a statutory share or a creditor of the estate. It serves to ensure transparency in the event of inheritance and forms the basis for calculating claims to a statutory share (Section 2314 of the German Civil Code) as well as for settling the estate’s liabilities. The inventory must be complete and truthful; intentionally false or incomplete information may require the heir to submit an affidavit.

Content and Structure of the Estate Inventory

The estate inventory includes all items of value: real estate (with market value or property value), bank accounts and securities accounts, insurance policies with cash surrender value, vehicles, jewelry, and works of art, as well as other receivables (rental income, loan repayments).

On the liabilities side, all debts, mortgages, land charges, back taxes, rent arrears, and other liabilities must be listed. Gifts made in the last ten years may also be relevant under the law of compulsory inheritance and should be recorded-because claims for supplementary compulsory inheritance may arise based on such gifts, even if the assets have long since been removed from the estate.

A frequently overlooked point: Assets assigned to a specific beneficiary with a right of withdrawal-such as life insurance policies or assets in joint accounts that pass to the co-owner upon the testator’s death-do not form part of the estate. This distinction is important for calculating the claim to a compulsory portion.

Official Inventory of the Estate by a Notary

Heirs entitled to a compulsory share may request that the estate inventory be drawn up by a notary (Section 2314(1) Sentence 3 BGB). In this case, the notary prepares the inventory-he interviews the heir, requests documents, and officially documents the estate. The notarial inventory has greater probative value than a private inventory prepared by the heir. The costs are borne by the estate; they are based on the value of the estate.

The advantage of the notarial inventory from the heir’s perspective: It provides legal certainty and reduces the risk of later allegations of incompleteness. From the perspective of the beneficiary of a compulsory portion, it offers independent documentation that is viewed with greater trust than an inventory prepared by the heir themselves.

Estate Inventory and Statutory Share

Heirs entitled to a statutory share-that is, close relatives or spouses who have been disinherited or receive less than the statutory share-have a legal right to information regarding the estate. This right is closely linked to the estate inventory: only on the basis of a complete inventory can the claim to a statutory share be correctly calculated.

The statutory share amounts to half of the legal inheritance. To calculate it, the total value of the estate must be known-and that is precisely what the estate inventory is for. Heirs who refuse to provide the inventory or conceal it expose themselves to claims for damages and can be compelled to provide information through judicial enforcement measures.

Real Estate in the Estate Inventory

Real estate is often the most valuable and, at the same time, the most difficult part of the estate inventory to value. For inheritance tax purposes, the tax office determines the property value; for the estate inventory, however, the market value is decisive. If no current appraisal is available, it is advisable to obtain a market price estimate from a real estate agent or appraiser as a basis.

Practical Tip for Property Owners in Nuremberg and Franconia

In inheritance cases involving real estate in Nuremberg and the Franconia region, the estate inventory is often the sticking point: property values are frequently unclear or are assessed differently by various parties involved. Upon request, we prepare a professional market price estimate that serves as a basis for the estate inventory for heirs and beneficiaries entitled to a compulsory share.

Clarifying the property value early on helps avoid disputes among heirs and with beneficiaries entitled to a compulsory share. When all parties agree on a common value, claims to a compulsory share can be calculated and settled quickly-without years of legal disputes.

Frequently Asked Questions

Who is required to prepare the estate inventory?

The heir(s) are obligated to provide information if a beneficiary of a statutory share or a creditor of the estate requests it. There is no automatic obligation to prepare the inventory; it is prepared upon request.

Can the heir refuse to provide an affidavit when preparing the estate inventory?

If the beneficiary of a statutory share has reason to believe that the inventory is incomplete, they may require the heir to provide an affidavit attesting to its accuracy (Section 2314(2) of the German Civil Code (BGB)). The heir cannot simply refuse to do so; refusal may have legal consequences.

How detailed must the inventory of the estate be?

It must be detailed enough to allow the beneficiary of the statutory share to calculate their claim. For real estate, a value statement is sufficient; the method of valuation (market value, appraisal) should be specified. When in doubt, more information is better than less-incomplete information can be costly.

Do gifts made by the decedent in recent years also need to be included?

Yes, provided they are relevant to the compulsory portion supplement. Gifts made in the 10 years prior to the opening of the estate can trigger the right to a compulsory portion supplement and must be recorded in the inventory. The further back the gift was made, the more its value is reduced for compulsory portion purposes.

What happens if the heir incorrectly values a property in the estate inventory?

If the heir undervalues a property in the estate inventory and the beneficiary of the statutory share assumes that a higher value is realistic, they may demand that an independent appraisal be obtained or that the notarial estate inventory be drawn up by a notary. In inheritance cases involving real estate in Nuremberg, we recommend including current proof of market value-such as a comparative value assessment based on data from the Nuremberg Appraisal Committee. This avoids costly disputes over the valuation and ensures transparency for all parties involved.

Inventory of the Estate and Distribution of the Estate

If there are multiple heirs, the inventory of the estate also serves as the basis for the distribution of the estate among them. When real estate constitutes a significant portion of the estate, agreement on its value is often the most important prerequisite for a swift and cost-effective division of the inheritance. Communities of heirs who cannot agree on the value of the property are frequently forced to resort to a partition auction-a process that typically results in significantly lower proceeds than a private sale on the open market. We recommend that communities of heirs in Nuremberg and Franconia commission a joint, professionally prepared valuation early on to serve as a basis for discussion. This creates a neutral foundation and prevents differing perceptions of value from blocking the entire estate settlement process.

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