Real Estate

Mortgage Loan Drawdown

Receiving the first tranche of a construction mortgage from the bank.

Account NameTypeDebit ($)Credit ($)
Cash / BankAsset (+)2,000,000.00-
Mortgage Loan PayableLiability (+)-2,000,000.00

💡 Accountant's Note

Construction mortgages are often drawn in tranches as construction milestones are achieved. Each drawdown increases the loan liability.

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