If a client does this to me Ill put a cushion upfront on the next job instead of bidding as tight as possible expecting them to understand if something comes up during work.Would you have approved original job if it was 400 more?

It will give you some cushion if in case you need to evict them.

He’s a very smart guy with plenty of cushion.

If this ratio were to equal 1.00 that would mean that there is enough cash flow to just cover the debt, however lenders want to see it at 1.20 to 1.25 so that there is a cushion.  

Honestly for the first one, I think saving everything in the first year or two to build a cushion is not a bad idea. 

Read Charles Becker of Duke University's article on this very topic for greater insight.Another difference is that Class B/C apartments typically need a huge amount of expensive cap-x to maintain their occupancy, while mobile home parks need a much lower amount since the park does not own the homes (or at least many of the homes in most cases), although this is true whether there is a recession or not.The final main difference is that apartments sell at much lower cap rates, so there is less cushion in the event of a recession, while mobile home parks still sell about 1 to 2 points higher in cap rate, so you have more flexibility to contend with the impact of a recession, whatever it may be.

Keep saving until you have the cash for a down payment as well as a solid cushion to help deal with unexpected expenses (and there will be more than a few).

I've raised my security deposit requirement to 1.5x monthly rent so I'm covered for 1 month plus some damages if they don't pay last month, and also a cushion for those trying the Emotional Support Animal route to save on a pet deposit. 

Personally, if I had sufficient reserves and there was enough cushion in the deal to allow for a rent drop, I'd feel comfortable using my home equity as a downpayment. 

Without a money cushion you may well be headed for disaster.