Why is linking important? Because when a property is sold any remaining balance due on a linked mortgage will be paid from the proceeds. If a rental property is being liquidated, any income linked to it will cease automatically once the property is sold.
Secured debts, such as mortgages, should be linked to their associated properties on the Debts screen.
Click the Asset field and in the drop down list, select the associated property.
Click the Link / Unlink button to establish the link between property and debt. A small link icon will appear next to the property, once linked.
Rental income may also need to be linked to the source property on the Real Property screen.
1. Select the rental property in the ledger to the right side of the screen.
2. Expand Advanced Settings and click Incomes.
3. Select the rental income from the drop-down list and click Link or you may enter the income on this panel if it does not already exist in the plan. If this is the case, select New Income, enter the details and clock Add.
4. Click OK and then click Update.
The linked income as well as any linked debts should appear when you click the link icon next to the property in the ledger, as shown below.
For Further Reading
Other Related Documents