Loading...
HomeMy WebLinkAbout07-15-091505607120 REV X500 EX (06-05) OFFICIAL USE ONLY PA Department of Revenue County Code Year File Number Bureau of Individual Taxes INHERITANCE TAX RETURN 2 1 0 9 0 0 5 6 PO 80X.280601 Harrisburg, PA 17128-0601 RESIDENT DECEDENT ENTER DECEDENT INFORMATION BELOW Social Security Number Date of Death Date of Birth 204 28 0645 08 17 2007 O1 12 1938 Decedent's Last Name Suffix Decedent's First Name MI TROUTMAN ROBERT W (If Applicable) Enter Surviving Spouse's Information Below Spouse's Last Name Suffix Spouse's First Name MI TROUTMAN JOAN F Spouse's Social Security Number THIS RETURN MUST BE FILED IN DUPLICATE WITH THE REGISTER OF WILLS FILL IN APPROPRIATE OVALS BELOW 1. Original Return ^ 2. Supplemental Return ^ 3. Remainder Return (date of death prior to 12-13-82) ^ 4. Limited Estate ^ qa, Future Interest Compromise ^ 5. Federal Estate Tax Return Required (date of death after 12-12-82) a 8 Decedent Died Testate ^ ~, Decedent Maintained a Living Trust 8. Total Number of Safe Deposit Boxes (Attach Copy of Will) (Attach Copy of Trust) 9. Litigation Proceeds Received 10. Spousal Poverty Credit ((date of death ~ ~ .Election to tax under Sec. 9113(A) ^ ^ between 12-31-91 and i-1-s5) (Attach Sch. O) CORRESPONDENT -THIS SECTION MUST BE COMPLETED. ALL CORRESPONDENCE AND CONFIDEFITIAL TAX INFORMATION SHOULD BE DIRECTED TO: Name Daytime Telephone Number MICHAEL L. BANGS 717 730 7310 Firm Name (If Applicable) First line of address 429 SOUTH 18TH STREET Second line of address City or Post Office State ZIP Code CAMP HILL PA 17011 REGISTEI~'QF WILLS UONLY C~,Q ,.,n yy~~-~. ~ ~:1":. :-xr ~..,,~ } ~ ~ f -an ~ '_' "~' ~ _ ~- -_~ ~ .. ? ,.., ~~qq ~-1'L~ FILED ~ ~~ -' "'~~ - © . Correspondent's a-mail address: Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct and complete. Declaration of preparer other than the personal representative Is based on all information of which preparer has any knowledge. TURE OF PERSON~ONSIBL OR FILI RETURN DATE - Joan F. Troutman ~ D 111 Cumberland Road, Enola, PA 17025 SI N URE OF PR PARE HER THAN R TATIVE DAT ~/f,wf~/r'~ ~ Michael L. Bangs `~ ~~ ~~ ADDRESS / / 429 South 18th Street, Camp Hill, PA 17011 Side 1 L 1505607120 1505607120 J 1505607220 REV-1500 EX Decedent's Social Security Number Decedent's Nerve: Robert W. Troutman 2 0 4 2 8 0 6 4 5 RECAPITULATION 1. Real Estate (Schedule A) .................................................. ........................................ 1. 1 0, 3 0 0. 0 0 2. Stocks and Bonds (Schedule B) ............................................................................... 2. 3. Closely Held Corporation, Partnership or Sole-Proprietorship (Schedule C).......... 3. 4. Mortgages ~ Notes Receivable (Schedule D) .......................................................... 4. 5• Cash, Bank Deposits 8 Miscellaneous Personal Property (Schedule E) ................ 5. 6. Jointly Owned Property (Schedule F) ~ Separate Billing Requested ............. 6. 7. Inter-Vivos Transfers ~ Miscellaneous Non-Probate Property (Schedule G) ~ Separate Billing Requested ............. 7_ 8. Total Gross Assets (total Lines 1-7) ................. ............. ..................................... 8. 1 0, 3 0 0. 0 0 9. Funeral Expenses & Administrative Costs (Schedule H) ......................................... 9. 14,502.34 10. Debts of Decedent, Mortgage Liabilities, & Liens (Schedule I) ................................ 10. 11. Total Deductions total Lines 9 810 ( ) ...................................................................... 11. 14 , 5 0 2 . 3 4 12. Net Value of Estate (Line 8 minus Line 11) ............................................................. 12, - 4 , 2 0 2 . 3 4 13. Charitable and Governmental Bequests/Sec 9113 Trusts for which an election to tax has not been made (Schedule J) ................................................. 13. 14. Net Value Subject to Tax (Line 12 minus Line 13 ................................................. 14. - 4 , 2 0 2 . 3 4 TAX COMPUTATION -SEE INSTRUCTIONS FOR APPLICABLE RATES 15. Amount of Line 14 taxable at the spousal tax rate, or transfers under Sec. 9116 (a)(1.2) x .00 0. 0 0 15. 0. 0 0 16. Amount of Line 14 taxable 0 . 0 0 at lineal rate X .045 16. 0 0 0 17. Amount of Line 14 taxable at sibling rate X .12 0. 0 0 17. 0. 0 0 18. Amount of Line 14 taxable at collateral rate X .15 0. 0 0 18. 0. 0 0 19. Tax Due ..................................................................................................................... 19. 0 . 0 0 20. FILL IN THE OVAL IF YOU ARE REQUESTING A REFUND OF AN OVERPAYMENT. ^ Side 2 1505607220 1505607220 REV-1500 EX Page 3 Decedent's Comolete Address: 4,, i File Number 21-C9-0056 DECEDENT'S NAME Robert W. Troutman STREET ADDRESS 111 Cumberland Road CITY Enola STATE PA ZIP 17025 Tax Payments and Credits: 1. Tax Due (Page 1 Line 19) 2. Credits/Payments A. Spousal Poverty Credit B. Prior Payments C. Discount 3. Interest/Penalty if applicable p. Interest E. Penalty 0.00 Total Credits (A + 8 + C) (1) 0.00 (2) 0.00 (3) Total Interest/Penalty (D + E) 4. If Line 2 is greater than Line 1 + Line 3, enter the difference. This is the OVERPAYMENT. Check box on Page 2 Line 20 to request a refund 5. If Line 1 + Line 3 is greater than Line 2, enter the difference. This is the TAX DUE. q, Enter the interest on the tax due. B. Enter the total of Line 5 + 5A. This is the BALANCE DUE. (4) (5) 0.00 (5A) (56) Q.QQ Make Check Payable to: REGISTER OF WILLS, AGENT ..... a y,,.`.., ,.. ., ;. PLEASE ANSWER THE FOLLOWING QUESTIONS BY PLACING AN "X°' IN THE APPROPRIATE BLOCKS 1. Did decedent make a transfer and: Yes No a. retain the use or income of the property transferred :.................................................................................. ^ ^ b. retain the right to designate who shall use the property transferred or its income :.................................... ^ ^ c. retain a reversionary interest; or .................................................................................................................. ^ ^ d. receive the promise for life of either payments, benefits or care? .............................................................. ^ ^ 2. If death occurred after December 12, 1982, did decedent transfer property within one year of death without receiving adequate consideration? ....................................................................................................................... ^ ^ 3. Did decedent own an "in trust for" or payable upon death bank account or security at his or her death?......... ^ ^ 4. Did decedent own an Individual Retirement Account, annuity, or other non-probate property which contains a beneficiary designation? ...................................................................................................................... ^ ^ IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN. i ~_~ r,,~.~"~ .:~.r`. ~... 1 .<<4f YS~~~-S, ~`-,. f' ~'~~ ._ ,r ,l~a~-..,i.~ i; `~~wv -. itF. ~ - For dates of death on or after July 1, 1994 and before January 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is three (3) percent [72 P.S. §9116 (a) (1.1) (i)]. For dates of death on or after January 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is zero (0) percent [72 P.S. §9116 (a) (1.1) (ii)]. The statute does not exempt a transfer to a surviving spouse from tax, and the statutory requirements for disclosure of assets and filing a tax return are still applicable even if the surviving spouse is the only beneficiary. For dates of death on or after July 1, 2000: The tax rate imposed on the net value of transfers from a deceased child twenty-one years of age or younger at death to or for the use of a natural parent, an adoptive parent, or a stepparent of the child is zero (0) percent [72 P.S. §9116 (a) (1.2)]. The tax rate imposed on the net value of transfers to or for the use of the decedent's lineal beneficiaries is four and one-half (4.5) percent, except as noted in 72 P.S. §9116 1.2) [72 P.S. §9116 (a) (1)]. The tax rate imposed on the net value of transfers to or for the use of the decedent's siblings is twelve (12) percent [72 P.S. §9116 (a) (1.3)]. A sibling is defined under Section 9102, as an individual who has at least one parent in common with the decedent, whether by blood or adoption. Rev-1602 EX+ (6-98 J scHEnv~~ a REAL ESTATE COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT ESTATE OF FILE NUMBER Troutman, Robert W. 21-09-0056 All real property owned solely or as a tenant in common must bs reported at fair market value. Fair market value is defined as the price at which property would be exchanged between a willing buyer and a willing seller, neither being compelled to buy or sell, both having reasonable knowledge of the relevant facts. Real property which is Jointly-owned wRh right of survivorship must be disclosed on schedule F. (If more space is needed, additional pages of the same size) Copyright (c) 2002 form software only The Lackner Group, Inc. Form PA-1500 Schedule A (Rev. 6-98) REV-1161 E)(+ (12-99) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT sc~~©vcf H FUNERAL EXPENSES & Ar111AlAlICT~ATIf,ic ~+n~T~ ESTATE OF - Troutman, Robert W. Debts of decedent must be reported, on Schedule 1. ITEM DESCRIPTION NUMBER A. FUNERAL EXPENSES: See continuation schedule(s) attached B. ADMINISTRATIVE COSTS: 1. Personal Representative's Comrroissions Social Security Number(s) / EIN Number of Personal Representative(s): Street Address City State Zip Year(s) Commission paid FILE NUMBER 21-09-0056 AMOUNT 2. Attorney's Fees Michael L. Bangs 3. Family Exemption: (If decedent's address is not the same as claimant's, attach explanation) Claimant ,. , Street Address f City State Zip Relationship of Claimant to Decedent 4. Probate Fees 5. Accountant's Fees 6. Tax Return Preparer's Fees 12,684.28 1,500.00 98.00 7. Other Administrative Costs 220.06 See continuation schedule(s) attached TOTAL (Also enter on line 9, Recapitulation) 14,502.34 Copyright (c) 2002 form software only The Lackner Group, Inc. Form PA-1500 Schedule H (Rev. 6-98) SCHE~i~LE H FUNERAL EXPENSES AND ADMINISTRATIVE COSTS continued ESTATE OF "~ - FILE NUMBER Troutman, Robert W. : _ 21-09-0056 ITEM NUMBER DESCRIPTION AMOUNT Funeral Exuenses 1 Geo's Country Oven -funeral luncheon 926.28 2 Gingrich Memorials 3,804.00 3 Sullivan Funeral Home 7,954.00 H-A Subtotal 12,684.28 Other Administrative Cos' 4 Cumberland Law Journal -estate advertising 75.00 5 The Sentinel -estate advertising 145.06 H-B7 Subtotal 220.06 Copyright (c) 2002 form software only The Lackner Group, Inc. Form PA-1500 Schedule H (Rev. 6-98) REV-1b13 EX+ (9-00) COMMONWEALTH OF PENNSYLVANIA INHERITANCE TAX RETURN RESIDENT DECEDENT SCHI~DIILE J BENEFICIARIES ESTATE OF FILE NUMBER Troutman, Robert W. 21-09-0056 NAME AND ADDRESS OF RELATIONSHIP TO SHARE OF ESTATE AMOUNT OF ESTATE NUMBER PERSON(S) RECEIVING PROPERTY DECEDENT (Words) ($$$) Do Not Ust Trust s j TAXABLE DISTRIBUTIONS [include outright spousal • distributions, and transfers under Sec. 9116(a)(1.2)] Joan F. Troutman 111 Cumberland Road Enola, PA 17025 Spouse I ~ Total Enter dollar amounts for distributions shown above on lines 15 through 18, as appropriate, on Rev 1500 cover sheet II• NON-TAXABLE DISTRIBUTIONS: A. SPOUSAL DISTRIBUTIONS UNDER SECTION 9113 FOR WHICH AN ELECTION TO TAX IS NOT BEING MADE B. CHARITABLE AND GOVERf~MENTAL DISTRIBUTIONS TOTAL OF PART II -ENTER TOTAL.NON-TAXABLE DISTRIBUTIONS ON LINE 13 OF F:EV-1500 COVER SHEET ~ U.VU Copyright (c) 2002 form software only The Lackner Group, Inc. Form PA-1500 Schedule J (Rev. 6-98) ~~,,. F; =~ . ,. .• ~,,. ;.,,;. ~`.S. ~~:k.::- ~; t,^,,, ~,- ;s~~ SUMMARY APPRAISAL REPORT APPRAISAL OF REAL PROPERTY LOCATED AT: Center Street Deed Book 266 Page 3089 Enola, PA 17025 FOR: Michael L. Bangs 429 South 18th Street Camp Hill, PA 17101 AS OF: 8/17/2007; Date of Death of Robert W. Troutman BY: Pamela M. Reitenbach Pa Certified General Real Estate Appreiser Pamela M. Reitenbach, INC. 5113 Circle Drive hiarrisburg, PA 17112 Farm GA5 -'WInTOTAL' appraisal software by a la mode, Inc. -1-800-ALAMOD~ F~.N.O 9~2$~'~ ~1 ''^~--rT-~^- ,err ~ -~` f n ,ey r ~ r°'~.ry~'~''' r., ~. June 24, 2008 Mr. Michael Bangs, Esquire Bangs Law Office 429 South 18th Street Camp Hill, PA 17011 RE: Estate of Robert W. Troutman Tax Parcel # 09-15-1290-125A Center Street, East Pennsboro Township Cumberland County, Enola, PA 17025 Dear Mr. Bangs: Pursuant to your request, 1 have prepared a Summary Land Appraisal Report for the property captioned in the "Summary of Salient Features" which follows. The accompanying report is based on a site inspection, investigation of the subject neighborhood area of influence, and review of sales data for similar properties. This appraisal has been made with particular attention paid to the applicable value influencing economic conditions and has been processed in accordance with nationally recognized appraisal guidelines. Within this analysis an opinion of the retrospective market value of the subject, as of the date of death of Mr. Robert W. Troutman on August 17, 2007 is provided. From this a second opinion of value is provided which reflects the partial interest held in the property by the estate of Robert W. Troutman. Both values are contingent upon the certifications and limiting conditions attached. The date of inspection was April 27,.2009. Please do not hesitate to contact me, if I can be of additional service to you. Respectfully, Pamela M. Reitenbach PA Certified General Real Estate Appraiser Form DCVR - "WinTOTAL' appraisal software by a la mode, Inc. -1-800~ACAMODE SUMMARY OF SALIENT FEATURES Subject Address Center Street Legal Description Part of Deed Book 465 Page 082 ., Ctty Enola County Cumberland State PA Zip Code 17025 Census Tract Addenda Map Reference Addenda Sale Price $ N/A Date of Sale N/A Borrower N/A Lender/Client Michael L. Bangs S(ze (Square Feet) 1, 760 Price per Square Foot $ • - Location SuburbaNAvg Age 19 +/- Years Condition average Total Rooms Two Bedrooms ,NA Baths None Appraiser -Pamela M. Reitenbach, PA Certified General Real Estate; AF+praiser Date of Appraised Value 8-17-2007; Date of Death of Robert W. Troutman Opinion of Value $ 10,300 (Partial Interest .Form SSD2 - "WinTOTAL" appraisal software by a is mode, inc. -1-1~0-ALR?~i7DL LAND APPRAISAL REPORT Rle No. 09-028 Paae #4 09-028 Borrower NIA Census Tract Adder- Map Reference Addenda Property Address Center Street ~ Clty Enola Zip Code 17025 County Cumberland State PA ,.' Legal Description Deed Book 266 Page 3089 ( See Addenda) Parcel No. 09-15-1290-125A Sale Price $ N/A Date of Sale N/A Loan Term NA yrs. Property Rights Appraised ®Fee ^ Leasehdd ^ De Minimis P Actual Real Estate Taxes $ 790.25 (yr) Loan charges to be paid by seller $ N/A Other sales concessions. NA LendedCkent Michael L Ban gs Address 429 South 18th Street Damp Hill, PA 17101 Occupant Vacant Appraiser Pamela M. Reitenbach Instructions to Appraiser Provide the Intended user/client with a retrospective market value o inion of the sub'ect artial interest for estate settlement u oses. Location Built Up Urban ^ Over 75% ® Suburban Rural 25% to 75% ^ Under 25% Employment Stability Good Avg. Fair Poor ^ ®^ ^ Growth Rate ^ Fuity Dev. ^ Rapid ®Steady ^ Slow Cornenfence to Employment ^ ®^ ^ Property Values ^ Increasing ®Stable ^ Declirting Cornenience to Shopping ^ ®^ ^ Demand/St~pty ^ Shortage ®In Balance ^ Oversuppty Convenience to Schools ^ ®^ ^ Marketing Time ^ Under 3 Mos. ®4-6 Mos. ^ Over 6 Mos. Adequacy of Public Transportation ^ ®^ ^ Present Land Use 90 % 1 Family 2 % 2-4 Family i ?% Apts. 1 % Condo 4 % Commercial Recreational FaCiliti~ 6ti f llt Ad ^ ~ ^ ^ ^ ®^ ^ 1 % Indus Change in Present Land Use _% Vacant tria ®Not Llkety _% ^ Likely (*) ^ Taking Place (*) i es equacy o Property CompatibiNty ^ ®^ ^ (*) From To Protection from Detrimental Conditions ^ ®^ ^ Predominant Occupancy ®Owner ^ Tenant 05 % Vacant PoBce and Fre Protection ^ ®^ ^ Single Fatuity Price Range $ 80 to $ 500+ Predominant Value $ 160-180 General Appearance of Properties ^ ®^ ^ Single Family Age new yrs. to 100+ yrs. Predominant Age 45-55 yrs. Appeal to Market ^ ®^ ^ Comments including those factors, favorable or unfavorable, aftecttng marketability (e.g. public parks, schools, view, nofse):The rH ..-.., .-s .......al.. ~ c -.. G~ ..ear nl,i rrcforhu~i hnmac of vanrinn nuAllty- All amenltleS and malOr trafflC arteryBS Dimensions 100' x 263' x 100' x 263 75'' per deed = 0.60 acre Sq. Ft. or Acres U Corner Lot Zoning classification R1 -Residential Single Family Present Improvements ~ io ^ do not conform to zoning regulations Highest and best use ®Present use Other s eci ___ PubNc Olher (Describe) OFF SITE IMPROVEMENTS Topo General) Level Elec. ® Street Access ®Public ^ Private Size T ical for the nei hborhood Gas ^ Surtace paved Shape Recta ular Water ^ Malydenance ®Public [] Private View Residential San. Sewer ^ ^ Storm Sewer ^ Curb/Gutter Drainage ars Ade uate ^ Underground Elect. & Td. Sidewalk Street Li Ms Is the propeAy bated in a HUD Ident~ied Special Food Hazard Area? ®No ^ Yes Comments (favorable or unfavorable including any apparent adverse easements, encroachments, or other adverse carditions): Standard easements for utilities. There are no The undersgned has recited three recent sales of properties most similar and proximate to subject and has considered these in the market analysis. The description includes a dollar adjustment reflecting market reaction to those items of significant variation between the subject and comparable properties. B a signiticar-t item in the comparable property is superior to or more favorable than the subject property, a minus (-) adjustment is made thus reducing the indicated value of subject; if a significant ftem in the comparable is inferior to or less favorable than the subject property, a plus (+) adjustment is made thus increasing the indicated value of the subject. Address 404 Center Street 20 High Street 203 Valley Street 612 Nauvoo Road Enola PA 17025 New Buffalo PA 17069 Summerdale PA 17093, Lewidber PA 17339 pr ~ ~ ~ ~ ~- 13 12 tulles N 2.69 miles N 7.96 miles SE Sales Price ~ N/A '~ {: r <. ~ ~ ~ ° ~; $ 30 000 ~~r= 50 000 ,~ ~ ~ r-~ 56 420 Date of Sale and Time Adjustment +1 5/04/2005 6% +3 000 7/07/2006 3% +1 700 E ual E ual 0.21 Ac (Stu)/Avg ~ ,+5 000 0.70 Acre / Av men s n~o n .~,.e G nnn ~ ,ten cf f`/R (S~r~n,' _~i Mn till IUY°III°IIW Zonin avv ai ~ v,v u residential - residential - - - - - - -- - - Comm Limited -5 000 residential Sales or Rnancing Concessions NA Conv/DOM 8 Cls. Cost/Re air CashIDOM 231 Cls. Cost/Re air CashIDOM 27 Cls. CosURe air Net Ad'. al ~ ~- + - 8 000 + - -2 000 - + - -3 300 . . , ~ - _ krdfcated Value _ of Subject Net ~~26:7 % 38 000 Net 4.0 %~. = 48 000 ~ Net .5.8 . % 53 120 Comments on Market Data: Resale's of ro erties similar to the sub act were limited. The three sales chosen were considered to be the best indicators of value available. Sales #2 8 #3 were ad'usted for time. Sales #1 & #2 ad'usted for smaller lot size. Sales #2 & #3 were ad'usted under im rovements for havin full walk-out bsmts. and Sale #2 ad'usted for su erior zonin which allows commercial uses. See Addenda Comments and Conditions of Appraisal: All comparable site and improvement sizes were obtained from County Tax Assessment Records, and assumed as accurate. Other rior sales of com arable ro erties occurred more than one ear a o. No warrant of this a raisal is iven or im lied. Hnal Reconciliation: The retros active market value o inion as of ust 17 2007 was 8 000 unaffected b the artial interest. The retros active market value of the sub'ect ro art artial interest held b the Estate of Mr. Robert W. Troutman was 10 300. Please see addenda fore lantation of Partial Interest. '* Date of Death 1 ESTIMATE THE MANKET VAL/UE~AB DEFINED, OF BUSJECT PIIOrENTT Aa OF 8-17-2007 *` t0 be $ 10 300 Partial Interest QCSru-A.~'..~ l_...~0~1~.~e-~ Pamela M. Reitenbach PA Certified General Real Estate Appraiser ^ Did ^ Did Not Physically Inspect Property A raisers Review raiser if a arable 1~K1 Pamela Reitenbach Form LND - "WInTOTAL" appraisal software by a la mode, inc. -1-800•ALAMODE Rle Na. 09-028 PaT ae #5~ ,. Sunel®mental Addendum FlleNa_n9~f9A CNent Michael L. Ba s '" Pro Address Center Street CI Enola County Cumberland State PA ZI Code 17025 Lender Michael L. Ba s Census Tract. Cont'd: The subject property is located within the census tract 25420.0102.02. Ownership, Cont'd: The subject property is under',he ownership of Robert W. Troutman and Paul R. Troutman, as tenants in common; each owning an undivided one-half interest in the property. Site. Cont'd The property is improved witti'a 30 x 30 pole building and frame shed, each considered to be in average condition. rse Environmental conauion There are no known or apparent adverse environmental conditions that would negatively impact on the sale of the property. The appraiser has not been informed, nor has the appraiser any knowledgEj of the existence of any environmental or health impediment, which if known, could have a negative impact oj3tt*e market value of the subject property. The valuation contained herein is not valid if any hazardous items a1~e.found in the subject property and stated within the appraisal report, including but not limited to: Ureaformaldehyde foam insulation, Radon Gas, Asbestos Products, Lead or tread Based Products, Toxic Contaminants. - t~~ ,. ~alps Comparison Analysis - Summary of Sales Comparison ppTgach .,; Note: It was necessary for the appraiser to widen the market search to obtain comparables with similar utility, style, effective age, and sales dates reflective of current market conditions. Based on appraisal practice with emphasis placed on weighting the elements of comparison, the sales chosen represent the best indication of the subject current market value. In the appraiser's opinion, the sales chosen best weigh the el~'ments of comparison, and while the distance from the subject property is important, various factors within the elements of comparison require a wider than one mile radius search. All sales have garage type buildings of similar utility. Greatest weight given to Sale #2 which is located within the subjects immediate mar~~ot are and would have similar market appeal VALUATION OF THE PARTIAL INTEREST , The appraisal industry has g~:nerally accepted that partial interests are valued at disc,,~u~1ts. This is due primarily to their limited marketability res~slting from the following factors: partial interests have liresited value in use as collateral, the absence of autonomous control, and the possible restrictions imposed in transfs~' ng partial interest. It would not be theoreticaly sound to argue that the market value of an interest in reaj~ estate would be the same irrespective of the rights occ~3rring to the ownership of that interest. Non-controlling ial interests in real property do not benefit from the same bundle of rights that would accrue to the 100% or cont~ fling ownership position. Some of the critical differences are 'as follows: non-controlling partial interests (whether pa, ~~iership, limited partnership, or tenant-in-common) have no control over the management decision process. The owner of a 100% or controlling interest can cause the property to be financed or refinanced at any time and can simultaneously distribute any excess proceeds. A limited or non-controlling partner or anon-controlling tenant-in-ccmmon has no control over the financing benefit. The owner of anon-controlling tenant-in-common interest cannot, nc'er ordinary circumstances, obtain conventional long term financing secured only by his or her specific property °~°~erest, even if the property is debt free. It is suggested that the ownership differences contribute, in part, to partial interests being less liquid than 100% or controlling interests. However, it would seem that the lack of liquidity is also a separa"e problem induced by very limited resources through which partial non-controlling interests can be marketed. Thus, these interests cannot receive the same exposure to the market that is available to the 100% position throe:tlh a vast network of real estate brokers. The owner of a partial interest wishing to sell that interest has very limited r~ :sources available to market that asset. Research into this area indicates that the size of the discount is affected in part by tf`e degree to which the parties are related, by blood or by contract, other than the deed of ownership. Related parties are expected to receive smaller discounts in transacting undivided interest. Another factor affecting the size of the discount is the extent of the interest being valued. The size of the interest is expected to have an inverse effect on the size of the discount; that is, as the amount of the `.nterest increases, the size of the discount decreases. ~' third factor affecting the size of the discount is the value of tfiP property in question. Research has concluded that G:c> the value of the property rises, so does the size of the disccunt when valuing a partial interest. However, a Federal Court decision on minority interest (James Barudin Estate, TC '~"emo 1996-395) focused on three (3) primary items. The first was the estimated fair market value held by the pa~~nrrrship, converting the value into a liquidation value by multiplying the value by 95%. Next they applied a minority ~;iterest discount and then a lack-of-marketability discount to the liquidation value of the single unit. dorm TARO -'WinTOTAI' appraisal software by a la mode, Inc. -1-800-AU~tiIIOGE emental Addendu Stats. In addition, it is clear that a sin+~te ownership unit was not readily marketable and that env purchaser would demand a significant discount to reflect that fact. Market studies admitted in this case showed t~7~`appropriate discounts fall in a range of 25 to 55 percent: Per the enclosed legal descri~i~n the subject property is held as tenants in common Yrit~ the Estate of Mr. Robert W. Troutman having a one ha'f (50%) percent interest in the property. As indicated by.ti~e Sales Comparison Approach the retrospective m'rket value of the subject as of the date of death of Mr. ''rocttman on August 17, 2007 was $48,000. From this the rrerket value was converted to a liquidation value; this v~rbe is than discounted to reflect the percentage of ownership of the property; and than a discount is applied to :~fiect the lack of marketability of the property interest. ..r~ Total Value ,~;: $48,000 `~ t - Liquiatation Discount x 95% Total Liquidation Value $45,600 Ownership Percentage x 50% Allocation $22,800 Marketability Discount x 55% Adjusted for Marketability $ 10,260 Indicated Value of the Partial Interest $ 10,260 ROUNDED TO: $ 10,300 Scope Of Work: Observation of the exterior and. walk through observation of the interior of the propert)~~ 1±11easuring the exterior of the building. Neighborhood information was gathered by a visual inspection, and inform,;~ic3rt obtained from the State Data Center,Cumberland County and East Pennsboro Township. Review of the Co~nty Public Record data and Multi-List, Inc. records. Revie•.v the county tax assessment online information, countytt.~x mapping, zoning was confirmed with East Pennsboro Township officials and flood data was confirmed with FNMA flood maps. An exterior inspection was conducted for. each comparable. All comparabtes were confirmed wit" tine listing/selling agent and/or grantor/grantee for each prop;'rty. Dioital Signatures ' Y` The digital signature used on this report is an exact replica of the appraiser's actual s%grxature. The digital signature has not been altered and is downloaded from the program by the appraiser. The dit~~ al signature is pass+nord protected to avoid improper usage. The digital signature should be considered equ~~ :o an original signature of the appraiser. DEFINITION OF MARKET V1~LUE The definition of Market Value "is from regulations published by federal regulatory agencies pursuant to Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA) of 1989 between July 5, 1990, and August 24, 1990, by the Federal Reserve System (FRS), National Credit Union Admitiis,•.ration (NCUA), Federal Deposit Insurance Corporation (FDIC), the Office of Thrift Supervision (OTS), and the< Office of Comptroller of the Currency (OCC). This definition is also referenced in regulations jointly published by tie OCC, OTS, FRS, and FDIC on June 7, 1994, and in the Interagency Appraisal and Evaluation Guidelines, dated ~'~ctober 27, 1994. SPECIAL LIMITING CONDITIONS: This appraisal is not a home inspection and the appraisers' are not acting as home ir;~pector's when preparing the report. The borrower has the right to have the home inspected by a professional hor.~.e inspector. When performing the inspection of this property, the appraisers visually observed areas that were rear:-w accessible. The appraisers are not required to disturb or move anything that obstructs access or visibility. The i; ~.;pection is not technically exhaustive. The inspection does not offer warranties or guarantees of any kind. The appraisers are not home or environmental inspector's. The appraisers provide ~~ opinion of value. The appraisal does not guarantee that the property is free of defects or environmental pr>~'~lems. The appraisers performs an inspection of visible and accessible areas only. Mold may be present in arras the appraisers cannot see. A professional home inspection or environmental inspection is recommended sttiould the client have a concern, Supplemental Certifications: certify that, This SUMMARY APPRAISAL REPORT was prepared by Pamela M. Reitenbach, PA Certified General Real Estate Appraiser for the exclusive use of Michael L. Bangs, Esquire. The intended use of this appraisal report is for estate settlement purposes. Estimated market value is the most probable price in terms of cash or in terms of financial arrangements equivalent to cash. The information and opinions contained in this appraisal set forth the appraiser's best judgment in light of the information available at the time of the preparation of this report. Any use of this appraisal by any other person or entity, or any reliance or decisions based on this appraisal are at the sole responsibility and at the sole risk of the third party. I accept no responsibility for damages suffered by any third party, as a result of reliance on or decisions made or actions taken based on this report. Fam TADD - "WinTOTAI" appraisal software by a la mode, lnc. -1-800-AUki~1,J~ ~uww~e^wewf~l Addondum ~~~~ u„ nn nno Client Michael L. Ba s _ Pro Address Center Street Ci Enola Cou Cumberland State PA Z1 Code 17025 Lender Michael L. Ba s In my opinion, me reasonauir CxN~su~rs un~a ~~~~~Q., .., .~~a „o~..~ ~N~~~~~„ ~~ ~r ... ...... ....,~. I further certify that, to the best of my knowledge and belief: - The statements of fact contained in this report are true and correct. - The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions. - I have no present or prospective interest in the property that is the subject of this report or to the parties involved with this assignment. - My engagement in this assignment was not contingent upon developing or reporting predetermined results. - My compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occur-ence of a subsequent event directly related to the intended use of this appraisal. - My analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standard of Professional Appraisal Practice. - Pamela M. Reitenbach has made a personal inspection of the property that is the subject of this report. Signature: Date: 6/24/2009 Pamela M. Reitenbach PA Certified General Real Estate Appraiser Certification # GAOO18O4 Expiration June 30, 2011 dorm TADD - "W1nTOTAL" appraisal software by a la mode, inc. -1-800-ALAfNODE. ~~ . . _ ;~: , DEFINITION OF MARKET VALUE: The most pr~able price which a property should bring In a corrtpetitive and open market under aN conditions requisite to a fair sale, the buyer and seller, each acting pruderidy, knowledgeably and assuming the price is not affected by undue stimubs. ImpNclt in this ddiNtlon is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typlcaNy motivated; (2) both partles are well infomted or weN advised, and each acting in what he considers his own best Interest; (3) a reasonable time is albwed fa exposure in the open market; (4) payment is made in terms Of cash In U.S. dollars or in terms of financial arrangements comparable thereto; and (5) the price represents ttte normal consideration for the property sold unaffected by special or creative financing or sales concessions* granted by anyone associated with ttte sale. * Adjustmerds to the comparables must be made for special or creative financing or sales concessions. , No adjustments are necessary for those costs which are rgrmaNy paid by sellers as a result of tradltfon or law in a markd area; these costs are readily identifiable since the seNer pays these costs. in virtuatly all sales tramactions. Special or creative financing adjustments can be made to the comparable property by comparisons to financing terms offered by a third party Institutional lender that is not already involved in the property or transaction. Any adjustment should not be ca~ulated on a mechanical dollar far doNar cost of the financing or concession but the dollar amount of any adjustment should appro>mate the market's reaction to the financing or concessions based on the appraiser's judgement. STATEMENT OF LIMITING CONDITIONS AND APPRAISER'S CERTIFICATION CONTINGENT AND LIMITING CONDITIONS: The appraiser's certification that appears in the appraisal report is subject to the foNowing conditions: c. 1. The appraiser wIN not be responsible for matters of a legal nature that aftect either the property bring appraised or ttie title to tt. The appraiser assumes that the title is good and marketable and, therefore, wiN not render arty opinions about the tide. The properly is appraised an the basis of it bring under responsible ownership. 2. The appraiser has provided a sketch in the appraisal report to show approximate dimensions of the Improvements 'artd the skdch is included oNyy to assist the reader of the report in visualizing the property and understanding the appraiser's determination of Its size. 3. The appraiser has examined the available tbod maps that are provided by the Federal Emergency Management Agency (or other data sources) and has noted in ttte appraisal report whether the subject site is located in an identified Special Flood Hazard Area. Because the appraiser is not a surveyor, he or she makes no guarantees, express or implied, regarding this determination. 4. The appraiser will not give testimony or appear in court because he or she made an appraisal of the property in question, unless specific arrangements to do so have been made bdorehand. 5. The appraiser has estimated the value of the land in the cost approach at Its highest and best use and the impc~vemertts at their contributory value. These separate valuations of the land and improvements must not be used in conjunction with any otter appraisa,` and are invalid if dreg are so used. 6. The appraiser has noted in tits appraisal report arty adverse conditions (such as, needed repairs, depreciation, ;the presence of hazardous wastes, totdc substances, dc.) observed during the inspection of the subject property or that he or st>e became aware of during t'ze normal research involved in perfoming the appraisal. Unless otherwise stated in the appraisal report, the appraiser has no knowledge of arty hidden or ttnapparent conditions of the property or adverse environmental conditions (including the presence of hazardous wastes, toxic substances, etc.) that would make the property more or less valuable, and has assumed that there are no such conditions and makes no guarantees or warranties, express or impNed, regarding rite condition of the property. The appraiser wiN not be responsible for any such conditions drat do acist or for arty engineering or testing that might be required to discover whether such conditions exist. Because the appraiser is not an expert in the field of ernironmerdal hazards, the appraisa'report must not be considered as an environmental assessment of the property. 7. The appraiser obtained the information, estirrrates, and opinions that were expressed in the appraisal report frog; sources that he or she considers to be reNable and believes them to be true and correct. The appraiser does not assume responsibility fa the accuracy ~fi such items that were furnished by other parties. 8. The appraiser will not disclose the contents of the appraisal report except as provided for in the Uniform Starid8rds of Professional Appraisal Practice. 9. The appraiser has based his or her appraisal report and valuation conclusion for an appraisal that is sub!M to satisfactory completion, repairs, or alterations on the assumption that completion of the improvements will be performed in a workmanlike manner. 10. The appraiser must provide his or her prior written consent before the lender/client specified in the apprais«; report can distribute the appraisal report (including conclusions about the property vakte, the appraiser's identity and professional designations, and .;:wferences to any professional appraisal organizations or the firm with which the appraiser is associated) to anyone other than the borrower; the mortgagee a its successors and assigns; the mortgage insurer; consultants; professional appraisal organizations; any state or tederally approved financial institution; or c.ny department, agency, a instrumentality of the United States or any state or the District of Columbia; except that the lender/clent may distribute the property d:ccripdon section of the report only to data coNection or reporting service(s) wtthout having to obtain the appraiser's prior written consent. The appraiser'>: written consent and approval must also be obtained before the appraisal car, be corneyed by anyone to the public through advertising, public' -elalticns, news, sales, or other media. Freddie Mac Form 439 6-93 Page 1 of 2 Fannie Mae Form 10048 6-93 Pamela Reftenbach Form ACR - "WInTOTAL' appraisal software by a la mode, Inc. -1-800-ALAMDDE APPRAISER'S CERTIFICATION: The Appraiser certifies and agrees that: t. I have researched the subject market area and have selected a minimum of three recent sales of properties most sirrdar and proximate to the subject property for considaatlon in the sales comparison analysis and have made a dolor adjustment when appropriate to reflect the market reaction to those Items of significant variatlon. tt a significant item in a comparable property is superior to, a more favorable than, the subject property, I have made a negative adjustment to reduce the adjusted sales price of fire cortararable and, tt a signifyant ttem in a comparable property is inferior to, or less favorable than the subject property, I have made a positive adjustment to increase the adjusted sales price of the comparable. 2. I have taken into consideration the factors that have an Impact on value in my devebpment of the estimate of market value in fire appraisal report. I have not knowingly withheld arty signfficant information from the appraisal report and I believe, to the best of my Imowledge, fhat all statements and informatlon in the appraisal report are true and correct. 3. I stated in the appraisal report only my own personal, unbiased, and professional analysis, opinions, and conclusions, which are subject onry to the contingent and limiting conditions specified in this form. 4. I have no present or prospective Interest in the property that is the subject to this report, and I have no present or prospectve personal interest or bias with respect to the participants in the transaction. I did not base, either parfialy or completely, my analysis and/or the estimate of market value in the appraisal report on the race, color, religion, sex, handicap, familial status, or national origin of either the prospective owners or occupants of the subject property or of the present owners or occupants of the properties in the vicinity of the subject property. 5. I have no present or contemplated future interest in the subject property, and ndther my current or future employme~ nor my compensatlon for performing this appraisal is contingent on the appraised value of the property. 6. I was not required to report a predetermined value a direction in value that favors the cause of the cleat or arty relate) party, the amount of the value estlmate, the attainment of a specffic result, or the occurrence of a subsequent event in order to receive my corr~ensatlon and/or employment for performing the appraisal. I did not base the appraisal report on a requested minimum valuation, a specific valuation, or the need to approve a specific ma~tgage loan. 7. I perfom~ed this appraisal in conformity wtth the Uniform Standards of Professional Appraisal Practice that wore adopted and promulgated by the Appraisal Standards Board of The Appraisal Foundation and that wese in place as of the effective date of this appraisal, with the exeeptlon of the departure provision of those Standards, which does not apply. I acknowledge that an estimate of a reasonable tlme for exposure In the open market Is ~ condition in the definition of market value and the estimate I developed is consistent wtth the marketing time noted in the nelghbofiood section of this report, unless I have otherwise stated in the reconcipatlon section. 8. I have personally inspected the interior and exterior areas of the subject property and the exterior of al properties fisted as comparables in the appraisal report. I further certify that I have noted arty apparent or known adverse conditions in the subject improvements, on the subject site, or on any site within the immediate vicinity of the subject property of which f am aware and have made adjustments for these adverse condttions in my analysis of the property value to the extent that I had market evidence to support them. I have also commented about the effect of the adverse conditions on the marketability of the subject property. 9. I personally prepared all conclusions and opinions about the real estate that wore set forth in the appraisal report. It I relied on significant professional assistance from any individual or individuals in the performance of the appraisal or the preparation of the appraisal report, I have named such individual(s) and disclosed the specific tasks performed by them in the reconcilafian section of tfds appraisal report. I certify that any individual so named is qualified to perform the tasks. I have not authorized anyone to make a change to any item in the report; thaefare, tt an unauthorized change is made to the appraisal report, I will take no responsibility for tt. SUPERVISORY APPRAISER'S CERTIFICATION: tt a supervisory appraises signed the appraisal report, he or she certifies and agrees that: I directy supervise the appraises who prepared the appraisal report, have reviewed the appraisal report, agree with the ~atements and conclusions of the appraiser, agree to be bound by the appraiser's certifications numbered 4 through 7 above, and am taking full responsiblltty for the appraisal and the appraisal report. ADDRESS OF PROPERTY APPRAISED: Center Street Enola PA 17025 APPRAISER: Name; Pamela M Reitenbach PA Certified General RE Appraiser Date Signed: June 24. 2009 State Certification #: GA001804 or State License #: State: PA Expiration Date of Certification or License: 6/30/2011 SUPERVISORY APPRAISER (only if required): Signature: Name: Date Signed: State Certification #: or State License #: State: Expiration Date of Certification or Ucense: ^ Did ^ Did Not Inspect Property Freddie Mac Form 439 6-93 Page 2 of 2 Fannie Mae Form 10048 &93 Form ACR - "WinTOTAI" appraisal software by a la mode, Inc. -1-800-ALAMODE .TAMER A'I. BAGH ATTORNEY AND. COtJNSE,LOR AT LAW 18 !3.' EKIOLA DRFVE' F_IYOLA, PA:.1902'3 LAS T ra~IL ~, t;F Rii :~ f-~ftT ~6°,~ . 'rR(; rT~7~"'~'~.~I~r S, ~~C~T71:~:RT ,,'', `i'RG~i1'1'n~'~~'~N, l.~!_l Cumberl~nc': Road, 'i'c,~,tin:~~hi p~ e_f~ i:~ast ?'enn~l;oro, Cot~nt~y of ~,;umberlrand anal ;tr,t,~ of ~rnz~s~~lva.nia. bein.~; in cod. bodi 1;~ kaFalth anal of sound ar:~r~ d i.spos i_n~; mir.~d ~~17ri mc>rnr.~.ry and not actin; under. dlar.es menace, fra~?d, and <,v, irr~c~~.ae in.fluc~nr..e cf an.y rersori wl~rorrr;~oever, c:a].li.n~. i~c rninc~? 1'r:ailt;~,,- ^t, l~ruman 1S.fe, and being; c`3FSiro~~s o1' disposi.n~~ nf' m;yT worlc',.;r ~c>od;; while I have the st.ren~7th and capacity so t•~ do, I de cr~Zl~e, pl.rb- li sh and declare this m;;r last i~~~i.l]. anal Tes tc~r,;ent. :1 het~f~~y .r~~vr..?~e, cancel arzd annr~l al]. my ~r_.~rrner tail.:1 ,; zz:zd te~~L~.~rn~.,r~ts, i.ncludin~; codicils thereto bar me fit any ti;~ ~ made, anci dc~c:larc~ tl.-ris alone to be my last %'ii7.1 az1d. Tegtamen.~,. 7_'1'i~'~ 1. T direct that my e~,eci~_tc>>~.~. herei.na.f tot= narl~PC~ pay and. rlisr,har~e all o:C' my just debts and f i~nF;ral anc; !_;esta!~~~~r1i;- ary expenses. Z"'1 l"~ c~, till tY:C•'. T'C.st, rE:S':lC~t:G' al.1i: r ~'l~'laincic'.T' !'i' m~I c;l`lt~ ~I'F: estate, wLeresoec*er situate, anc~, r~rlaatsaevF~y it, rr~a~y eon:;i;,t; cat', I ~;~:zvc,, deg..=iss and b~c•~:reath to my dearly k,.:•lcved tilii'e, ~7oar~ I~'. Trr~r.atman, a~~~solutel.y rtz7.<~ i.rz :fee, l:n. tl~e e~:%c~~rt my c~earl;a Y, F'7 r•,~-r~ uri.:t'E~ dins with me in ~:~ simF_altanna~~s dasast;~=r~, car i'ai,ls ~,^ ~~~~~~~~i;,f~, my death bu~~ thiri,y (30) days, ther-r I give, c3c~vise aria ',~cgi~eyat•i'n m;~ E~n.tirE estate, absolt..tel.y and :in fFe,, 1=:~ nay cl~.ldrer:~, sl;~:ir°c, a n [`i ~ t~ a. tae a l..i. ~<t e . 1 1~ :'.'`_~':~ ~_ T h ~ rf` k; `T I10m 1T]~ F F. ~1T).C3 ~ ~'~~'i r~ l.il'~~ I~1~/ 1:. e 1 C~'," F`C~ ~nl :l :f~t= Joan. r'. "Crc~t.~tman, ;:ter-,,ci_?tri~ rf.' this zr~ la: ~, i~_1. ^hc~~ ~.c~ t:.l,~e ~;ecvtr:~:x hPrF~S.n named flail to rt,~_:3.ff~;~~ or ;~e~.s~~ tc ^cl~~~ ~.xr-~c'~.~_ trix, tl-;e~n 7 r~ppoin.t ~a~~l R. Trc>u l:ma.r~, T ~.e c.>> t:or _n ht,r ~ te~c; . _. ~~ /.._~ ~ ~~ ~~L~^ JAMES M. EACH ~~ T" ~-`-~-'~- I~abert ~~ . Prolatman ATTORNEY AND COUNSELOR AT LAW 18 B. ENOLA DRIVE ENOLA, rA. 17n20 - 1 .~ I`l`fiM~'M Imo.- I direct that my personal ~•~epr~senf,ati_ves, as trell as their sta.ccessors, sha11 not be requ".rec to give bond ~'ot° 1,he faittzf'>'1 perf.ormanee a;C their duties ire ~n~7 juritidictien. Zt~~rTT~I~:~'~'S U~tI'z~R~fiOF, I have hereunt: ~ sFt my bane ~thi.s _____.~_ day of Octok:er, 1Q77 Robert lnl . ~Crol.~ tman `1't~~e pr. ecedin~; ~_nstrtzment consi, tir+~•; ofi tha.s anti one (1) nthFr. tyPe~~~~ritten pale, each identified by _.k~1e fii~;na turn of thF Testator ~~,as an the date thereo:t~ s:i~;ned, p=. -.1~.i_shed anc; r?<~cl.ared. by Robert bi. Tro~.atman, the Testator therein reamed, as and .icr hi.s last ?~Ta.11 anal Tnst.~.ment, in ri.~r preaenc., r tiaho, at his rf~q~aer,t in his pr<~sen.cF anal in the presence of ea.t~ other, hcz~~~: hc~reuntr sz~bscribec' o~.ar names a witnessr.s. Residing at ,~ -. .. ~ P_. S ], C~ l n~'; c`.~ t ~ / ~~ `.': -__°_b~.sic~i rte.- ~~~`' `.. r_, i JAMES M. EACH ATTORNEY ANb COUNBEIOR A7 LAW IB 8. ENOLA ORIYE ENOLA, PA. 1702M1 ~. t~~ '~., CEO . rx~ ~ ~