If you are setting aside funds for capex, taxes, insurance, or other expenses that don't occur monthly, transfer those funds to Savings each month and hold them there until it's time to spend them.

We do them, but like you we often get push-back from the capital-provider funds.

You investing in that fund? 

If you are able to actively use the funds I would say start a real estate marketing company with it. 

Leave your funds alone.

After getting the funds letter, which clearly states no appraisal was needed for this property, at the day of the closing, they came back and said no funds will be released until we get an appraisal.

@Abdul HafeezRates and LTV depend on many factors. 

I have 3 accounts per property which helps me leverage APY on savings accounts, prevent funds from being comingled, and easily set up auto payments for things like mortgage payments and utilities. 

Thanks for the feedback; some quick stats: 9 doors across 4 states, about 50% LTV ratio with a Net Income of about 17% and cash on cash of about 3%.....in fairness those numbers include some overall business expenses not tied directly to one specific property.

Board collected those funds and put them in Operating instead of Reserves.