@Rob Massopust not to rain on your parade but there is another emerging "group" steadily taking over market share from wholesalers and that is licensed RE Agents & brokerages teaming with home owners to complete a full rehab to than list the property full retail.

There's probably been a lot of comps that have emerged since this post. 

A reserve is a savings balance held until after you close your property purchase – an emergency fund.

When you have enough money to handle any emergency.

She wasn't moving to a more important political office where she could better serve her constituency (a good reason); she didn't have a family emergency that required her attention (a good reason); her life wasn't in danger if she continued in office (a good reason); her constituency didn't ask her to leave (a very good reason).She signed up to represent her constituency.

Our knowledge and expertise will allow us to position ourselves in emerging markets surrounding these staples.

In the event of a financial emergency, you're not obligated to make the higher payment.

If you take a year to figure out your first purchase while paying down personal debt and saving cash hopefully this will help secure a liquid down payment for your purchase without raiding your retirement accounts.I am against raiding any retirement funds for down payments on house for a new investor as you might not like being a landlord and could find yourself back at a W-2 job and starting over for retirement.In a "diverse" retirement portfolio real estate should be a part of your retirement plan not the entire portfolio so consider the 401K in terms of diversity in your portfolio.On top of a liquid down payment and having a 3 month emergency fund for your investment property might allow you to be a better investor and allow for a better nights sleep.

If he is unable to care for himself, call upon his emergency contact person or other support systems.You also have a need to receive rent on time.

Also - I am not sure that this 20k is even his emergency fund...this could be extra disposable cash.