[GNC] gnucash-user Digest, Vol 230, Issue 18

[Chris Skudder]

The simplest way is to just consider the purchase price to be $95,000, not $100,000.

(If you really want to capture the seller credit, you "could" record the
purchase price at $100,000, and create another "split" in the transaction:
  $5,000 credit to a new account - - for instance, "Income:credit for repairs.")

Chris

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*From:* gnucash-user-request at gnucash.org
*Sent:* Saturday, May 7, 2022, 11:00 AM
*To:* gnucash-user at gnucash.org
*Subject:* gnucash-user Digest, Vol 230, Issue 18

> Message: 11 Date: Sat, 7 May 2022 11:00:05 -0400
I am still learning double-entry accounting, and I need a little help. I
recently purchased a home, but the price was reduced during negotiation and a
seller credit was applied at closing. Agreed Purchase Price: $100,000 Seller
Credit for Repairs: $5,000 Actual Purchase Price: $95,000 When I add this asset,
I am stumped.? When I increase the asset by $100,000 and decrease other accounts
for cash and loans of $95,000, that all makes sense.? But how do I account for
the $5,000?? I see it as an unrealized gain... instant equity provided by the
seller. But I need to debit an account with this amount, so it shows an
unrealized gain of -$5,000. Should I simply just increase the asset by $95,000
and not account for the credit? I know I am missing the big picture.? Can anyone
point me in the right direction? Thanks to all, Mike