I sold my home, how do I record it in Quicken and remove the asset?

Naseer
Naseer Quicken Windows Subscription Member
in Business and Rental Property Tools (Windows)
I sold my home, how do I record it in Quicken and remove the asset?

Best Answer

  • Tom Young
    Tom Young Quicken Windows Subscription SuperUser ✭✭✭✭✭
    edited June 2021 Answer ✓
    The broad, general entry that leaves out all the messy details is typically (assuming a profit on the sale) along the lines of the following balanced entry:
    Debit (decrease) Mortgage Loan Account         $XXX  (existing mortgage paid off in escrow)
    Debit (increase) Cash in Bank Account              $YYY (net deposit to cash from sale)
    Credit (decrease) House Account                       $ZZZ (zero out existing house)
    Credit (increase) Gain on Sale Category           $AAA (to recognize gain on sale)
    Of course a loss on sale would be a Debit (increase) to a Loss on Sale Category.
    As I said, this leaves out a lot of detail that you might want to break out separately, like prepaid interest, property taxes and loan origination fees.  You don't have to do this in one grand entry, you can do it piecemeal, like entering the loan payoff to the House Account, the net cash deposit to the House Account, then zeroing out the House Account to the Gain or Loss Category.

Answers

  • Tom Young
    Tom Young Quicken Windows Subscription SuperUser ✭✭✭✭✭
    edited June 2021 Answer ✓
    The broad, general entry that leaves out all the messy details is typically (assuming a profit on the sale) along the lines of the following balanced entry:
    Debit (decrease) Mortgage Loan Account         $XXX  (existing mortgage paid off in escrow)
    Debit (increase) Cash in Bank Account              $YYY (net deposit to cash from sale)
    Credit (decrease) House Account                       $ZZZ (zero out existing house)
    Credit (increase) Gain on Sale Category           $AAA (to recognize gain on sale)
    Of course a loss on sale would be a Debit (increase) to a Loss on Sale Category.
    As I said, this leaves out a lot of detail that you might want to break out separately, like prepaid interest, property taxes and loan origination fees.  You don't have to do this in one grand entry, you can do it piecemeal, like entering the loan payoff to the House Account, the net cash deposit to the House Account, then zeroing out the House Account to the Gain or Loss Category.
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