Seller paid closing costs into escrow

Jason Ahrens jason at cougarcorp.net
Mon Apr 28 12:26:21 EDT 2008


So, this is more of an accounting question than a usability question. 
I'm hoping someone with experience can help :)

I just bought a house. Most of the Concepts Guide works great for the 
basic case, but in the specific case (at least in this state) a number 
of things go through Escrow on an on-going basis, including a large 
initial deposit from the closing costs. To this end, I created an "Asset 
:Escrow" account that deposits go into, and payments go out of 
(insurance and taxes). That part works fine.

The sticking issue is that in this case, the seller has paid a good 
chunk of my closing costs. And of of those "closing costs" is going into 
the Escrow Account.

My initial thought was to draw this money from an "Income:Other" account 
into the "Asset:Escrow" for the house. Would this be correct?

Jason


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