As Red says there are many ways to peel this orange. However if the excess
credit applies to your principal as you mentioned, then I think you'd want
to modify Red's last transaction to instead credit Liabilities:Mortgage
instead of Assets:House since the credit doesn't affect the value of your
house but is just reducing how much you owe on the mortgage. I.e.:
```
2024-01-01 * "Seller credit"
Assets:Bank:Checking 50,000 USD
Expenses:House:ClosingFee -10,000 USD
Liabilities:Mortgage
```
You also might want to model the house as its own commodity. Since what you
have in Assets:House is not actually 1,000,000 USD of cash. You have a
house with a fluctuating value that is currently 1,000,000 USD. E.g.
```
2024-01-01 commodity MYHOUSE
2024-01-01 * "House Purchase"
Assets:Bank:Checking -200,000 USD
Assets:Bank:Checking -10,000 USD
Liability:Mortgage -800,000 USD
Assets:House 1 MYHOUSE {1,000,000 USD, 2024-01-01}
Expenses:House:ClosingFee 10,000 USD
```
This way when your house gets reassessed by the local tax collector next
year, you can update the value of the house via a price directive:
```
2025-03-08 price MYHOUSE 1,200,000 USD
```
If you keep the Assets:House account in USD instead of using the separate
commodity, then you would have to declare the increased value of your house
as unrealized income, which I think makes things more confusing.
Gary
On Friday, January 5, 2024 at 7:46:19 AM UTC+1 Red S wrote:
> Many ways to peel this orange. I’d suggest:
> 2024-01-01 * "House Purchase" Assets:Bank:Checking -200,000 USD
> Assets:Bank:Checking -10,000 USD Liability:Mortgage -800,000 USD
> Assets:House 1,000,000 USD ; The purchase price Expenses:House:ClosingFee
> 10,000 USD 2024-01-01 * "Seller credit" Assets:Bank:Checking 50,000 USD
> Assets:House
>
> This way you don’t lose the factiod about having received a credit. Or if
> you want to deduct it against closing costs first:
> 2024-01-01 * "Seller credit" Assets:Bank:Checking 50,000 USD
> Expenses:House;ClosingFee -10,000 USD Assets:House
>
>
>
>
>
> On Thursday, January 4, 2024 at 9:32:20 PM UTC-8 [email protected] wrote:
>
> Hi,
> I have been using beancount to track my family finances for more than 1
> year.
> I just purchased a new house recently. I got 50K credits from my seller.
> I wonder how can I book a transaction that can reflect the these credits?
> Without credits, the transaction can be as simple as:
>
> Assets:Bank:Checking -200,000 USD
> Assets:Bank:Checking -10,000 USD
> Liability:Mortgage -800,000 USD
> Assets:House 1,000,000 USD ; The purchase price
> Expenses:House:ClosingFee 10,000 USD
>
>
> But with credits, how should I book this? I feel not right to book the
> credits as an income. One thing I can think of is directly subtract the
> credits from the purchase price. But this way I will lose the credits
> information. Anyone has a good idea how to book the seller credits?
>
> Thanks!
>
>
>
>
>
--
You received this message because you are subscribed to the Google Groups
"Beancount" group.
To unsubscribe from this group and stop receiving emails from it, send an email
to [email protected].
To view this discussion on the web visit
https://groups.google.com/d/msgid/beancount/941adff5-698e-4a0d-abc5-a0b8d7a7d475n%40googlegroups.com.
