[GNC] how to put loan downpayments in budgets

[Adrien Monteleone]

Perhaps my wording was poor.

Yes, I see it the same way. (hence my comment about envelope method 
budgeting)

Regards,
Adrien

On 3/29/22 10:43 PM, john wrote:
> I think you're conflating two separate things. Saving up for a down payment is not buying a house. There's no property value to account for. Heck, there's not even a property yet: You don't even start looking until you've saved enough for the down payment.
> 
> The house purchase is easy: Suppose you buy a 100,000 house with the typical 20% down. That's just DR Assets:Fixed:House 100,000, CR Assets:Current:Savings 20,000, CR Liabilities:Mortgage 80,000.
> 
> Saving up that future down payment is just earmarking. The easy way is with a sub-account called "Down Payment" under whatever actual bank account holds the money, or maybe an actual separate account. Since it's usually a long-term goal it's worthwhile collecting enough to roll into a higher-interest (yeah, I know, but with inflation picking up interest on bank accounts will come back) account like a CD.