Appraisal Upon Purchase for an Income-Producing Property

Topic

Appraisal Upon Purchase for an Income-Producing Property

Case number

• 2019-101 (F&R date: 2020-02-27)

Issue

As mentioned above, the Canadian Forces Integrated Relocation Program (CFIRP) currently does not require or provide reimbursement for an appraisal in respect of the purchase of an income-producing property. However, as the case at hand demonstrates, service members are being directed to obtain an appraisal, at their own expense, in order to establish the percentage of purchase benefits they are entitled to receive. The lack of provisions in this regard appear to be an oversight and the CFIRP should be amended to reflect the requirement for an appraisal and to provide reimbursement for the costs of obtaining one.

Recommendation

I therefore recommend that the FA direct the Director General Compensation and Benefits to engage with the Treasury Board Secretariat and request the amendment of article 8.1.06 of the CFIRP to include the requirement for and 100% reimbursement, from the Core envelope, of an appraisal upon the purchase of an income-producing property.