currently we do about 500k in  a low month to 1 million  a month in this paper and I would say 75% of our clients are moving from landlording to being the bank.. they dig the cash flow just don't want to deal with the tenants any longer.. plus you don't need to be accredited you don't get pooled  into a big pot.. pretty cool alternative for placing cash today other than sitting in the bank.. but their are lots of other places to put money realively safely that is not tied to real estate if that is what has you worried.

I do have a "pot of money" for reserves but it's a lot more than $5K.

The most humorous part about this deal was the walk thru was done with a local realtor and the 55 year old son was IN the property surrounded by pot seeds and beer cans...

We have another pot set aside for more interior improvements. 

Here is something that will stir up the pot. 

. ;-)@Scott Smith No offen$e, but doe$'t your po$t suge$$t you get paid to write contract$?

I dare say a strong financial foundation helps remove the money problem which is a huge relationship pot hole, best avoided. 

Dumpsters , spot a pot etc.  

It is everything from blinds, artwork, furniture, pots, pans, silverware to wine openers.

That way if things go well, you end up in a lot of deals together, but if one of your buddies isn't as involved, there are no feelings hurt if you go a different direction on the next deal.Most importantly, I  think of real estate investing as a crock pot, it takes a while until you have enough rentals fixed up and renting to the point where the cash flow from rents each month is meaningful.