IRP Custom Fund

[maniac779]

I am currently trying to sell my place and was wondering has anyone utilized their custom fund for capital improvements? What was your experiance?

I'd like to frame and drywall my basement. However, in the policy document, while much more extensive jobs are provided for, they dont really make any mention of this type of work. Would it fall under the header of "installations" perhaps?

Any guidance would be helpful.

 

[captloadie]

Is the policy reference capital improvements meant to set the baseline for the value of the house when calculating the loss on a sale? For instance, you buy your house for 200K, you invest 20K in allowable capital improvements, therefore the value of your house is deemed to be 220K (note, this is different from the appraised value of the home). If you sell your house for less than this, the loss you incur would be reimbursed out of your custom funds. I don't believe you can actually use the custom funds to make home improvements.

 

[HCA123]

I am in the process of finalizing my file with Brookfield and I'm wondering if anyone has any ideas on how to use up more of the custom fund? Last posting I used it against my CMHC insurance, however this time I had enough downpayment to avoid CMHC. Any ideas? It's looking more and more like it will go unused.