Upfront money sounds awesome, but can lead to hassles down the road like having a more difficult time evicting because of the prepaid rent, and tax issues such as claiming it the year you receive it instead of the year it's applied.

If I need an attorney, would it be best to enroll in a prepaid legal plan, or pay for services like this individually?

If your lender lets you pay with a debit card and not just your bank account, you can use your credit card to load a pre-paid Visa gift card from the grocery store. 

There are $2,500 of prepaid rents that the sellers are transferring to me.

This closing cost may have escrow and prepaid add in.

@James Jones Yes it is, but I pre-paid for the year out of pocket.

I'm not sure you can do things like build a house on land owned by your IRA.A Roth IRA is a bit different because you pre-paid the taxes. 

We put the prepaid rent in escrow just like a deposit.  

Loan amount: 735660 Loan : Jumbo Down payment : 25% Credit: Excellent (800) Closing: Sep 20th. 2017 Lender: BOA(Bank of America) Loan term: 7/1 arm Interest rate: 2.875% APR: 3.484% Closing cost Credit: $3303 Interest Lock in time : 60 days (until Sep 25th) Lender Fees: $1465 3rd party/Appraisal and all those add ons (Section B from Loan estimate): $819 Title (North american title company) + Section E from Loan estimate: $4821 Prepaids : $2000 I was shopping for Title company and found NATC to be even cheaper than entitle direct by $300.

Except with a big chunk of prepaid rent you have money for liquidated damages for make ready, court costs, and downtime till you find a new renter.