In our reia, we probably would laugh about this person a few times a year.

Personally, I like option #1 (I know a lot of agents will push you to #2 as that's how they make commission), but it helps in keeping an asset and using that capital to buy something more productive.

It is something I wouldn't use personally.

Personal guarantee? 

Trusting someone shows you are an honest person.

Once I've done some homework on the property and everything checks out, I make sure to visit it in person.

For 5 rooms I have each person have a $1,000 security deposit = $5,000 deposit for the house. 

While I do not personally have a contact in KC, I'd recommend using BiggerPockets' Find an Agent tool.Its a FREE service for BP members like yourself who are looking to expand your network and find local experts.Here, you'll be connected with an investor-friendly with knowledge/experience in your desired location(s). 

This person is asking for specific website.  

DM me if interested in getting a personalized game plan.