You Open Escrow, deposit your Earnest Money Deposit and your due diligence period starts (unless otherwise written into the contract). 

deposited in a demand deposit account?  

Provide clear instructions on where and how to pay to avoid confusion.Recover Security Deposits: The current property manager is legally obligated to transfer tenant security deposits to you or the new management company.

Here security deposit and most of the first month's rent are supposed to be paid by NJ Victims of Crimes.Fast forward now:- she did not pay her rent of January.

We don't have much capital to work with outside the equity in our current home, but should be able to come up with first/last/deposit on a rental without selling.  

After searching more, I found a few BP post where people seemed to have one account for all deposits, and keep only deposits in there.

Nomad also held the renter's deposit hostage even after I cleared the transfer with no damages to be charged.I had to remind Nomad there is a difference between “can” and should” , while you “can” hold a deposit longer it “should” only be done when there is a question about damages.My bank liked the guarantee, the disorganization inside Nomad and the horrible vendor management would cause me not to use them again.

Follow the step for the deposit-even if it is to send a registered letter to their last known address stating that the deposit was used for outstanding rent and whatever damages or cleaning was needed (itemize it). 

I’ve already put down a $2,000 earnest deposit and paid for the inspection and appraisal.This event is unprecedented in the area, as the area is typically low in violence and considered very safe.

@Jaycee Greene  they require a non refundable deposit and give 48hrs to see proof of funds