Sometimes, something like a hairline crack in concrete or masonry may be a simple fix with very little cost, but some of the other issues you're listing can easily run into several thousand dollars and will really eat into (or wipe out) your profits. 

Having been with an independent broker, a large unnamed national franchise and Keller Williams realty, KW wins the training hands down.  

If you are wanting a separate account from your primary account because it helps your personal accounting then you can easily open a  dedicated checking account for this purpose.

I'd like to help in a win/win way but I'd also like to be protected in case it all goes south.Any advice would be appreciated. 

He could easily call a local news station and complain that you kept his security deposit because he is _______ (insert race here).

@Davon LoweryI am so glad this turned out great, but it could have easily turned out horribly. 

You can easily break the law and get in trouble. 

You should be able to save up $15K-$20K in under two years easily.

I know the Saginaw area very well and can figure the other 2 out easily.

I do not see how even high quality RE would offer much liquidity in a tumultuous environment ... beautiful mansions in Beverly Hills could not easily be sold even at steep discounts in 2008.