So, I want to create a basic system for buying a house.
I have guessed that I create a new fixed asset, which I’ve done with a purchase price of £150,000.
Assuming that £100,000 is mortaged and £50,000 is a deposit, how would/should I display this?
Should I create a Liability account as ‘Investment’ account and a Long Term liability account? If I do this, how so I explain to Manager the period of the Mortgage and the interest rate etc - so the liability increases week after week, etc?
Manager does not calculate mortgage payment schedules. Nor does it automatically increment liabilities. If all you are doing is keeping track of a mortgage and house payments, let me suggest that using a full double-entry accounting program like Manager will not be worth the effort. There are numerous online calculators available for such things. Or use one of the built-in financial functions in a spreadsheet program.
Obviously, that’s a different story. But you will still need to calculate payment schedules, accrued interest, and the like on your own or get that information from the bank.
Yes, the properties should be fixed assets. Mortgage loans can be set up many ways, from lumping several together in a general liability account (not very useful in your situation) to individual special accounts.
I suggest the following. Create a test business and experiment. See what it takes to generate the level of information you want before entering your real business information. Read the Guides. Pay special attention to those in the section about structuring accounts, including special accounts.
When you have a specific question on something you don’t understand, come back to the forum and illustrate your question with screen shots from the test business.
