He never collected any security deposit from that person smh.

There is another option to use 12/24 months bank statements and use your gross deposits to qualify. 

When I receive my rent payment each month, it’s put into my account as a single deposit.

Look at how they track tenant payments, deposits, owner payments, etc.

Would it make sense to just return their deposit in full to get them out of the house or?

I match my rent to theirs, cover my portion of the mortgage, the utilities, the rest goes into savings for repairs.

I have found that VRBO customer service is useless, can't solve my problems and they are way more expensive (8% compared to airbnb 3%) VRBO owes me alittle over 1k in past rents and they blame the root cause that my w 9 doesn't match IRS records but no one can seem to tell me how or what field.

On September 25, 2008, Washington Mutual Bank was closed by the Office of Thrift Supervision and the Federal Deposit Insurance Corporation was named receiver.

Closing costs alone should be more than that.Hi Anthony,My lender covered closing costs after the initial 1% deposit ($4,050)

Bad agents are a dime a dozen, find someone that matches with your expectations.