All Forum Posts by: Jeff Pasmore

Terry,

Yeah, you can use your commission toward your closing costs when buying your own home, but tax-wise, it’s not a clean wash. Here’s why:

Even though you’re applying your commission toward closing, you’re still earning it, which means the brokerage is going to 1099 you for the full amount. The IRS sees that as taxable income, even if you never physically touched the money.

Now, the good news is you might be able to offset it as a business expense. Some agents classify it as a ‘commission rebate’ or ‘buyer credit’ and deduct it accordingly, but you’ll want a CPA to confirm how to structure it properly. Arizona allows commission credits toward closing, so that part’s fine it’s just about handling the tax side correctly.

Bottom line: You’re still getting taxed on it, but with the right accounting strategy, you can minimize the hit. Talk to your CPA and make sure it’s categorized right

I hope this helps !

Jorge, 

Yeah, there are definitely VAs who specialize in rent-by-the-room strategies, but finding the right one is key. You don’t just need a general admin—you need someone who understands tenant turnover, screening multiple tenants per unit, handling lease coordination, and managing communication between roommates (which can get messy fast).

A solid VA for this model should be able to:

• Screen inquiries and prequalify tenants based on house rules.
• Manage listings on platforms like Facebook Marketplace, Zillow, and Roomster.
• Coordinate move-ins/move-outs and track leases for each tenant.
• Handle maintenance requests and keep an eye on potential conflicts between tenants.
• Chase rent payments if needed.

If you’re thinking about hiring one, I’d focus on VAs with property management or co-living experience—not just someone who has worked in real estate generally. Best bet? Look on Upwork or specialized VA agencies that cater to property managers. Also, test them with real scenarios before hiring—this strategy can get chaotic, and you need someone who can keep things running smoothly.

Are you self-managing, or do you have a local team handling things on the ground?

I hope this helps you ! Best of luck 

I am sorry to say - I have never used them ? 

Leyha, let’s break this down logically. Your idea isn’t bad it’s actually a smart way to let someone else pay down your mortgage while you keep your flexibility. But here’s where you need to think like an investor, not just a homeowner.

I like numbers - I can lie numbers can’t - First, the numbers.

• PITI: $1,600–$1,800
• Expected rent: $1,800–$2,000
• Potential apartment rent: $900–$1,200

At face value, you’re at least breaking even, maybe cash flowing a little. But let’s talk about what you might not be considering.

What could go wrong?( Think about this)

1. Vacancy & Maintenance – If your place sits empty for even a month, you’re covering both a mortgage and rent. Plus, you’ll have maintenance costs—water heaters break, A/C units die, tenants complain. Are you financially ready for that?
2. Property Management – If you’re moving 20–40 minutes away, are you self-managing or hiring someone? Factor in management fees if you don’t want those 2 AM ‘the sink is leaking’ calls.
3. Reserves – Do you have at least 3–6 months of expenses saved? If not, this could backfire quickly.
4. Tenant Risk – A bad tenant who stops paying can put you in a financial chokehold. Have you factored in screening, legal fees, and potential eviction costs?

What’s the upside?

• You build equity while keeping your cost of living low.
• You’re positioned in an appreciating area, meaning your asset should gain value over time.
• You keep your downtown flexibility while someone else funds your mortgage.

Now does it make sense?

It can—IF you run it like an investor, not a hopeful landlord. That means:

• Screening tenants ruthlessly.
• Having cash reserves.
• Understanding the risks.
• Having a Plan B if your place doesn’t rent as expected.

If you’ve got reserves and a solid plan for managing the property, this could be a great way to start your investing journey. If you’re stretching your budget and hoping ‘everything works out,’ that’s where investors get burned.

What’s your backup plan if things don’t go smoothly?

I hope this helps you … Best of Luck

Rick here’s how you play this. First, you’ve already won in court—so you’re in control. The tenant has no legal footing, and an eviction is happening whether they like it or not. But because the sheriff’s office is backed up for three months, you’re in a bit of a holding pattern. That’s fine we (you)work with the hand we’re dealt.

Now, should you start collections while they’re still in the property? That depends on your endgame. If you push collections aggressively now, you could force them to dig in, stall, or even damage the unit out of spite. Instead, use frame control—position yourself as the reasonable one. Open the door for communication, but never beg. Let them know there’s a balance due and give them the opportunity to pay, but don’t expect miracles. If they engage, great. If not, you’ll hit them with collections after they’re out, when they have no leverage.

As for discussing the eviction don’t. The police and legal aid are right. There’s zero upside in tipping them off early. If they ask? Keep it simple: ‘Right now, I’m just focused on settling the balance owed.’ You control the conversation, not them.

Bottom line: Maintain control, play the long game, and don’t let emotions dictate strategy. You’re holding all the cards use them wisely.

I hope this helps you ! Best of Luck!

Look, here’s the reality—tenants break stuff, and sometimes they’re responsible, sometimes they’re not. But when it comes to a stove’s cast iron griddle and grates, it all comes down to negligence vs. normal wear and tear. If they’re just using the stove like any normal person would, that’s on us as landlords. But if they’re slamming heavy pots down, scrubbing with corrosive cleaners, or overheating it to the point of warping, that’s tenant damage—plain and simple.

The lease is the first line of defense. If it clearly states tenant responsibility for appliances, you’ve got leverage. But even if it doesn’t, state laws usually back landlords when it’s clear negligence is at play. Worst-case scenario? You document the damage, deduct it from their security deposit, and move on.

Bottom line: tenants don’t get a free pass just because 'things happen.' If they’re careless, they pay. And if you set the expectation upfront, you avoid these headaches altogether.

I hope this helps ! Let Me know 

There is a book by Oren Klaff called Pitch anything … I would use frame control to settle this matter . I would write this response to sellers agent and cc broker if you can.

Hi [Agent's Name],

I wanted to reach out directly regarding the escrow deposit and the status of the listing. As you know, the appraisal came in 14% lower, and my client's lender cannot finance based on that valuation. Given the circumstances, it's clear that returning the EMD is the appropriate course of action.

However, I understand the seller is hesitant to release the deposit. That’s their choice, but here’s the reality: until the escrow is resolved, this home cannot be placed back on the market or shown to new buyers per MLS rules. If the listing goes active again or showings begin without resolving this, I'll have no choice but to escalate the issue. That includes notifying MLS compliance and reaching out to your broker, who will have three days to correct the situation.

I'm sure we both want to avoid unnecessary delays and headaches. The cleanest and most professional path forward is to have the EMD released so everyone can move on. Let me know how you'd like to proceed—I'd rather work with you than escalate, but I'll do what's necessary to protect my client's interests.

Looking forward to your prompt response.

Best,
Buyer agent

Very common in the Cleveland area for the tenants to supply their own appliances.

Great question! First off, congratulations on taking the first step into wholesaling! The key to earning a prospect’s trust isn’t just about what you say—it’s about how you make them feel. As Dale Carnegie said, "The only way to get the best of an argument is to avoid it." Instead of trying to convince someone, focus on understanding their needs and concerns first.

Before presenting your wholesale strategy, ask yourself:

What does the seller truly want? Is it speed, convenience, or certainty?

What fears or doubts might they have? Have they had a bad experience before? Are they skeptical?

What’s their motivation for selling? Are they in distress, relocating, or simply tired of the property?

Instead of just explaining wholesaling, position yourself as their problem solver. Ask them:

"What’s most important to you in this sale?"

"Have you considered other options, and what concerns you about them?"

"If I could help you get this done in the easiest way possible, what would that look like for you?"

Once you understand their pain points, you can tailor your solution to fit their needs, not just sell them on a process.

Also, social proof builds trust. If you don’t have experience yet, lean on your network. Say:

"I work with a team that has successfully helped homeowners like you. My role is to make this as simple and smooth as possible for you."

People trust those who listen, understand, and genuinely care. Be interested, not just interesting, and you’ll find that trust follows naturally.

Does this approach resonate with you? Happy to help refine it further!