I think you are on the track of a correct way to handle this.

The $20k can be a Transfer to the equity account that just happens to have a
Payee. Having a Payee does not preclude it from being a transfer nor make it
an expense. Remember here that the equity account is a virtual account in
our heads and Money's data. It's not a real world account you can get a
statement on or anything. Put another way, you exchanged that $20k in cash
from a cash account for $20k in equity in an asset account. The transfer is
just a way to represent that exchange.

Hope that helps. I need to redeem myself here with a few answers that have
nothing to do with downloaded transaction data.

"Tim" <tbbooher[at]gmail.com> wrote in message
news:d32db32a-d980-4326-99e3-36b8512a0549[at]e25g2000prg.googlegroups.com...
- quote -

Say for example I buy a house which costs 100k and I finance 80%, I
would like to make the 20k transfer from my bank account a true
"transfer" transaction, as I don't think of it as an expense, but a
transfer into the equity of the house.

This is a problem, I know, because that money is not transfered into
an account, but went to someone else as a purchase for the asset whose
illiquid value is listed in the home account. However, I don't like
the idea of assigning a category to Household:House Purchase or
something like that.

Any thoughts on the most correct way to do this?

best,

tim