Accounting for Real Estate and Construction

This industry-focused course covers the specialized accounting requirements for real estate developers, construction companies, and property management firms. The real estate and construction sectors have unique accounting challenges that require specialized knowledge beyond general accounting principles.

You will learn how to apply IFRS 15 Revenue from Contracts with Customers to property sales, including determining the appropriate revenue recognition method (over time vs. at a point in time), identifying performance obligations, and allocating transaction prices in complex property deals. The course covers both residential and commercial property transactions.

Construction contract accounting is covered comprehensively, including the input and output methods for measuring progress, accounting for contract modifications, variable consideration, and loss-making contracts. You will also learn about IAS 40 Investment Property, including the fair value model and cost model, and the practical challenges of property valuation.

Additional topics include IAS 23 Borrowing Costs and when to capitalize borrowing costs on qualifying assets, accounting for joint ventures and joint operations in real estate development, and the specific regulatory and accounting requirements in the GCC real estate market. The course provides practical examples from major real estate transactions to reinforce your understanding of these complex accounting areas.