But in the bigger scheme of things, we have the money already allocated for repairs.  

In general, I avoid any lender/broker that wants money up front that isn't fully refundable and being allocated to closing costs (appraisal, fees, etc.).

Does your rental property cash flow with  5% return allocated to the $900K value ($3750/month).I personally do not understand having cash dead and buried in a property and wonder if there is not some better use for the money.

We allocated 20,000 for this.

I could even see day job tie in : advising those with small multifamily rental properties and working them into their asset allocation.

This pay lower your overall profit, but will be a huge benefit in the long run.Once you feel comfortable, you can then buy a few properties yourself, rehab, rent, renovate and repeat - the BRRRR method mentioned above.You can start with cash now, get better cash flow and refinance in a year when the property is seasoned.As for how much money you should allocate - that really depends on your neighborhood, your financial situation, goals, etc. 

Being able to allocate more capital with lower risk can help strengthen your portfolio, you don’t have to worry about paying off loans if the deal goes sideways, which is a comfort for many.I think if you invest smart and wait for solid deals to come, then I see no reason why passively investing won't make you wealthy.

For those of you who invest in paper assets (along with real estate), how do you calculate your rental properties into your overall asset allocation? 

I've already found a few boiler-plate contracts for investment partnerships that divide up the value of a property based on the initial investment of each party, but we both agree that we should add some language to address how equity from the renovations will be allocated, as I will be doing most of the carpentry and project management myself.I'm curious if anyone here has experience or suggestions of what equitable terms could look like in this scenario. 

And you can allocate your proceeds anyway you want.