Real Estate Agent/ FHA loan deal

[Victor Adewunmi]

Hi BP,

I have a question as an upcoming real estate agent. If I find a property that I plan to occupy for house hacking, how can I use my commission on the deal?

For example, can I contribute my commission to closing and put down as little cash on hand as possible so that I can use other free cash for potential light touches or vacancy? Also if there is anything I didn't think to ask, feedback is appreciated.

[Greg H.]

This is more of a question as to your agreement between you and your broker. How does it treat the purchase for personal reasons?

The best way is to forfeit your commission as then you are not required to pay taxes on the income and use it toward closing costs