There is an amount showing as Unsettled Trade in the Statement of Financial Position under the Property account.
Property purchase or sale transactions require two business events:
- Property Purchase (or Sale) Deposit - this event is to create one unit for the property
- Property Purchase (or Sale) Settlement - this event is to take up the book cost of the property
The Remaining Amount entered in the Property Purchase (or Sale) Deposit Event must be equal to the Remaining Amount entered in the Property Purchase (or Sale) Settlement event.
If the Remaining Amount is different (or there is no Deposit event) then it will create an Unsettled Trade in the Statement of Financial Position.
In order to resolve this issue, the remaining amount in both the Property Purchase (or Sale) Deposit event and Property Purchase (or Sale) Settlement event must be equal.
Navigate to Fund > Transactions > Browse Events
- Group all Business Events by Type
- Check the Remaining Amount in both Property Purchase (or Sale) Deposit event and Property Purchase (or Sale) Settlement event.
- If they are of a different amount, please update the event.
1/7/2018 Property purchased for $500,000 with deposit $50,000 and remaining amount $450,000
On 01/09/2018 settlement paid for $451,000, i.e. remaining amount $450,000 plus Legal fees of $1,000
In the settlement, event insert $450,000 as the remaining amount and use Disbursements for the Legal Fee.
If the property purchase or disposal process is across multiple financial years, then the remaining amount may be difficult to determine, refer to KB article How to process a property purchase across Financial Years and How do I treat a property disposal across multiple financial years? for the recommended process.