Income Digs
"Income Diggs" is a podcast focusing on the use of technology to help real estate investors and bookkeepers expand and streamline their operations. The show provides insights into technological solutions for the real estate market.
QB Online for RE Investors - Purchase Property with Financing
In this episode, Nick Baldo delves into cash purchase and settlement charges in QuickBooks, managing property taxes, security deposits, and prorated rent. He also explores private financing, construction escrow, and their impact on conventional mortgages. The episode wraps up with an introduction to Real Estate Accounting Boot Camp.
Key Points
- Recording the purchase of real estate in QuickBooks Online can become complex when incorporating elements like loans, prorated rents, security deposits, and escrow accounts.
- Properly accounting for different types of fees, such as origination fees and daily interest, is crucial and these should be categorized correctly, either as immediate expenses or capitalized costs.
- When dealing with loans that exceed the property's value for renovation purposes, it's important to track the additional amount in a construction escrow account and understand how it affects the balance sheet.
Real Estate Accounting: https://www.youtube.com/playlist?list=PL89qBCL2vU2sab5dEzpwJTZi0zTLjCDXJ
End to End RE Accounting Training: https://www.incomedigs.com/reab (Code YOUTUBE50)
Check out Part 1 here: https://www.youtube.com/watch?v=mA5CJH8tRbE
Following up on the Cash purchase, this video demonstrates how to purchase a property with financing. Specifically, we'll hit
- Capture the Loan as a LT Liability
- Differentiate loan costs from closing costs
- Fund the Tax & Insurance Escrow Account
- How to deal w/ Construction Escrow
- Adding in Private/ hard Money Loans
Chapters
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| 1:13 | |
| 3:50 | |
| 8:57 | |
| 12:15 | |
| 13:08 | |
| 15:37 | |
| 17:02 | |
| 18:47 | |
| 19:05 | |
| 19:56 |
Transcript
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