You identify the problem (lack of deposit) during your inspection phase, then hit them with an objection that requires them to pay you a deposit at closing.

I know I need to hold the security deposit in an escrow account.  

I have a clause in the lease that says the security deposit will be held in so and so bank with so and so address and interest rate will be xyz.

(I guess that's what the $3K to $4K deposit is for)(3) Is it difficult to find private money @ 12% over 5 years to fund these deals?

How are they coming up with a security deposit and a months rent and moving costs for a new apartment?

What is everyone's thoughts on starting with turnkey real estate for now?

The security deposit should never be used for anything during the lease.

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.

@Sean O'Keefe can I get a copy of the real estate professional logbook?

Im a real estate broker.