home purchase, expenses, AirBnB

bellisadoll · ‎October 05, 2021

I am a new bookkeeper, and I have a client that has purchased property with homes that he fixed, he is not doing anything with them with them for this year. He owns 2 outright, as he paid cash for them, but I am unsure of the other 2--meaning I do not know if he is paying a loan on them.

How would I categorize the purchase and expenses for this year? Would the home be a fixed asset? and would the expenses be a sub in the asset or do I just make an expense account under each home purchased? He purchased 4 houses this year and has put money into all of them to fix up, so they have different addresses.

He is hoping next year to use them as AirBnB, but this year they just worked on them.

Jovychris_A · ‎October 05, 2021

I can share some insights about recording a loan for an asset, categorizing home purchases, and expenses, @bellisadoll.

In QuickBooks Desktop (QBDT), a home purchased can be tagged as a fixed asset. Usually, it requires a journal entry to affect an asset account. Before creating it, I'd recommend reaching out to your accountant about this. They might be able to give you other options to categorize the home purchases and expenses. Alternatively, you can also find a ProAdvisor here: https://proadvisor.intuit.com/app/accountant/search.

On the other hand, for the two properties that you aren't sure if the client is paying a loan for them, you can peek at this article: How do I record the loan for an asset.

Also, we have a feature that allows us to track fixed assets in QBDT Accountant versions. You can check these resources for more details:

I always wish both of you and your clients prosperous and continuous success.

Please know you're always welcome to comment if you have additional questions and concerns about recording transactions and features in QBDT. I'm always here to give you a hand. Stay safe and well!

View solution in original post

Jovychris_A · ‎October 05, 2021

I can share some insights about recording a loan for an asset, categorizing home purchases, and expenses, @bellisadoll.

In QuickBooks Desktop (QBDT), a home purchased can be tagged as a fixed asset. Usually, it requires a journal entry to affect an asset account. Before creating it, I'd recommend reaching out to your accountant about this. They might be able to give you other options to categorize the home purchases and expenses. Alternatively, you can also find a ProAdvisor here: https://proadvisor.intuit.com/app/accountant/search.

On the other hand, for the two properties that you aren't sure if the client is paying a loan for them, you can peek at this article: How do I record the loan for an asset.

Also, we have a feature that allows us to track fixed assets in QBDT Accountant versions. You can check these resources for more details:

I always wish both of you and your clients prosperous and continuous success.

Please know you're always welcome to comment if you have additional questions and concerns about recording transactions and features in QBDT. I'm always here to give you a hand. Stay safe and well!

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home purchase, expenses, AirBnB

home purchase, expenses, AirBnB

home purchase, expenses, AirBnB

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