Capital Improvement

Definition of "Capital improvement"

Costs incurred in connection with real property that increase its cost basis or worth, such as a new roof, an additional room, or paneling a room.

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Change

Concept used in valuing real property that conditions may be altered requiring a revised estimate of market value. These conditions include a shift in ...

Tax Basis

The cost of property, such as a home owned for tax purposes. For example, a home was purchased for $150,000. capital improvements to it cost $15,000. ...

Maintenance

Periodic expenditures undertaken to preserve or retain a property's operational status for its originally intended use. These expenditures do not impr ...

Adjusted Basis

Cost measuring method for tax purposes where the cost is reduced because of depreciation and increased because of the cost of capital improvements. ...

Section 167

Section of the Internal Revenue Code relating to depreciation. Capital improvements made to real property are depreciable. ...

Holding Cost Of A House

The initial cost of a home plus any expense for final settlement that are not tax deductible plus capital improvements. ...

Popular Real Estate FAQ

What Are Paid Advertorials?

Paid advertorials are articles written by public relations professionals that have just one goal in mind - to get you to buy a home. I\'m sure you\'v ...

I Looked At A Property Yesterday With A REALTOR® Who Seems To Be Clueless. I Am Really Interested In Purchasing The Property, Though. Can I Switch Agents And Still Make The Purchase?

If you truly want to purchase that property, the only ethical thing to do is to purchase it through that REALTOR. Otherwise, you could set up potenti ...

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