Tasaheel ERPReal Estate Accounting — Unit Sales, Leasing & Instalments
Accounting for real estate developers and property managers in Saudi Arabia and beyond: cost per unit, sale contracts, leases and arrears.
By Sherif Fadl — Founder, Tasaheel ERP
A real estate developer needs to know the cost of each unit before selling it, and what has been collected from each buyer and what is overdue. A property manager needs occupancy, rent due and arrears for each tenant. Tasaheel Accounts has one module for real estate development and another for property and lease management, and both post their own entries.
Real estate accounting problems it solves
- Unit cost unknown, so the real profit on a sale is unknown.
- Buyer payments in a separate sheet that never matches the books.
- A bounced cheque or a buyer who withdraws, so entries get deleted by hand and balances break.
- Rent arrears that only surface when someone chases them.
Development: the cost of every unit
In real estate development projects you record the project cost (land + construction + other costs), and it is allocated to units by area, so every unit has its own cost, recognised as the cost of sale when the unit is sold. The project accounts are set once: projects under development, completed units for sale, buyer receivables, advances from buyers, unit sales revenue and cost of units sold.
Unit sale contracts and payments
Each sale contract has its payment schedule: price, down payment, collected and remaining. When a payment is collected the program posts its entry and settles the receivable.
If a cheque or transfer bounces, the undo button next to the collected payment posts a reversing entry and the payment returns to uncollected. If the buyer withdraws, the cancel button next to the contract — with a cancellation date and a reason — reverses every entry of the contract (the sale and the collections), marks the contract void and makes the unit available for sale again. No posted entry is deleted — it is reversed, so the trail stays in the books. Details in the user guide.
Sales and collections by project
The sales and collections report measures each project with three independent ratios: sales ratio (units sold ÷ units), collection ratio (collected ÷ contract value) and the margin on units sold after their cost. The remaining cost in unsold units stays an asset in real estate inventory, not an expense, and overdue instalments are flagged automatically.
Property and lease management
- Leased units: each unit has its rent, area and status, and occupancy is calculated from active leases.
- Leases: a lease generates a payment schedule, the period accrual posts the rent receivable, and collection settles it — so you close each month without manual entries.
- Payment schedule and arrears: each instalment on its own; collections are applied to the oldest first, so what remains open is the real arrears, with days overdue.
- Property report: one line per property: units, leased units, occupancy, annual rent, rent per square metre, billed, collected, collection ratio and arrears.
Credit and instalment sales
Instalment sale contracts have their own screen: total value (including margin) minus the down payment, with the rest split into instalments. Posting records the receivable, revenue and deferred profit; collections settle instalments in order, with a report on the instalment portfolio and arrears.
How to start
- Create your account and choose the real estate development and unit sales activity, or real estate and leasing.
- Set the module accounts once, from the same screen.
- Add the project and its units, or the property and its leased units.
- Record the first sale contract or lease and let the program build the schedules and entries.
Learn more about Tasaheel Accounts or read the user guide.
FAQ
How is the cost of a unit calculated?
The project cost (land, construction and other costs) is allocated to units by area, so each unit carries the cost that is released when it is sold.
What if a buyer's cheque bounces?
Use the undo button next to the collected payment: a reversing entry is posted and the payment returns to uncollected, to be collected again later.
Are entries deleted when a sale contract is cancelled?
No. Every entry of the contract is reversed with reversing entries dated at cancellation; a cancellation date before the sale date is not accepted, and the unit becomes available again.
Does it calculate occupancy?
Yes, from active leases, on the leased units screen and in the property report.
Is it suitable for contractors?
Contracting has its own module for progress claims and percentage of completion — see accounting software for contractors.
Try it in Tasaheel: create a free account, choose the real estate development or leasing activity, and add your first project.