You have decent cash flow that you'll continue to accumulate, which you could put toward a deposit later for another property. 

So, a $2,000 deposit could cost you $6,000 in court.Waive the deposit and raise the rent to make up for it.Back in the 90s we had a 9 plex in Cahokia, IL.

The problem is that they do not usually give this to new people and/or people that do not have big amounts deposited into their accounts.I'm also CT based. 

My large pizza was deposited!

(yes, some of the Non-QM lenders that do DSCR have FDIC-insured deposits BUT the large, private lenders that have thrived in DSCR over the last few years are not FDIC-insured lenders). 

Consider all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.5.

I like the one that requires payments to be deposited in an escrow account:New York state law requires that consumers receive a written contract for home-improvement work that exceeds $500.

3. what type of deposit / reserves can you provide in case the monthly rents you receive do not cover the rent you pay me?

Make sure every dime is deposited into the trust account.Private lending, like syndication investing, doesn’t involve many transactions.

So it was managing a risk rather than for profit.I’ll defer to others on mortgage paydown versus investing, other than to say that you may want to consider how far towards your next house / investment property deposit you are with the money instead of recast / investing.James