Might concentrate on the activity rather than tying the dependence of tenants to her income required to cover the property.

Since I was a child, I've done something with real estate - starting with building houses out of shoe boxes, then drawing them (by hand) along with floor plans before entering high school.

Come on now - if the shoe were on the other foot - say I lived across the street from you - and saw what I misguidedly interpreted as "suspicious" activity.

Cash that's tied up in rentals is cash that can't be used to buy more rentals.Suppose we take it even further (why not?!)

Nice to find someone else in my shoes :)

Because they are not tied to a specific purpose, security deposits can be used not only for damages, but for extra cleaning, missing items, unpaid utilities, unpaid rent, and unpaid fees.

The daughter was about foyur and had taken off her shoes and sat down on the floor against the wall.

You don't want to tie up their property without being able to follow through.You can avoid that situation by ensuring you analyze your deals correctly, meaning you value them (ARV) correctly and analyze the rehab costs correctly. 

If you have access to the capital and believe your own numbers, chase it... but having money tied up with no clear way out... get the cash back in your pocket and put it to work in a useful way instead of allowing it to waste away in a sunk cost.

Is the cashflow enough to justify tying money up in long term financing?