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Dlmm324
Dlmm324
December 22, 2020
Question

Best way to enter real estate transaction, I have set up each propertie as a project to track costs.

  • December 22, 2020
  • 3 replies
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Original commenter did not share additional details

3 replies

CaitlinOG
December 22, 2020

Hello DImm324, 

 

Using QuickBooks Online's Projects feature to manage real estate transactions is an excellent way to keeping your records organized. The way you'll record your real estate transactions will depend upon what they're for specifically. I'd be happy to help shed some light on this for you. 

 

If you're referring to real estate transactions such as rental income, projects allow you to separate the income and expenses related to properties at different addresses as well as properties with multiple rental units at one address. This is the same for if you're talking about building real estate and recording the income and expenses related to the building project. I see that you've successfully created your projects, so here's how to add income and expenses to them:

 

  • From within the Projects menu, select the project that you want to work on. 
  • Once inside the particular project, go to the Add to project button towards the top right of the screen and select one of the transaction types to create. Your options are Invoice, Receive Payment, Expense, Estimate, Time, Bill, and Purchase Order.
  • Fill out the necessary information within the respective transaction screen, then click Save and Close.

The transaction will now be added to your project. Check out our Community article Set up and create projects in QuickBooks Online for further information on adding transactions to projects. 

 

If by entering real estate transactions you're referring to the sale of real estate assets, then it'd be best to consult an accounting professional about how to record this. Real estate sales involve a number of components, like legal and inspection fees, and would likely need to hit multiple accounts when posted to your Chart of Accounts. You can invite your accountant to view your QuickBooks Online company through the My Accountant page on the left-hand menu. If you're not currently working with an accountant, you can use the Find a pro to help option to search for a QuickBooks-certified ProAdvisor in your area who can advise you. 

 

If I didn't quite hit the mark, please leave a comment elaborating further so that I can assist you!

Dlmm324
Dlmm324Author
December 22, 2020

Hi

 

It seems like the only way to get the entry in the way I want it is through a journal entry.

 

I cant do it through the project function as the entry is gross commissions less fess plus HST and then the net banking amount. 

 

It doesn't work through products and services . It works fine through a Journal entry just though there should be a better way.

 

Since Oct 2020 real estate agents are allowed to incorporate so more and more agents will be needing software, Intuit should get  ahead of that and make it a bit easier to enter the information, Unless there is a way and I am missing it? 

CaitlinOG
December 22, 2020

Hi DImm324, 


Thank you for sharing more details about the transactions you're trying to record. It sounds like a journal entry may be best for you since entering through products and services doesn't allow you to enter the fees and HST properly. I advise checking with an accountant to ensure that the journal entry is recording the transaction accurately.

 

One thing to note is that in order to properly track the sales tax, the sales tax should be accounted for as its own line in the journal entry and then the drop-down in the Sales Tax column is used for mapping to the applicable filing line. Otherwise, it won't track the amounts properly.

 

I can see how having the ability to generate invoices with the correct calculations would make recording these much easier for you. I recommend submitting Feedback to our software development team about having the ability to record transactions such as this through Products and Services. They take the feedback received from customers into consideration when preparing future updates and features.

 

I hope this helps. 

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