At 5" your factory control arms will be at or close to binding on the axle. Your pinion angles will be jacked causing poor steering and driveshaft vibration, at minimum you would probably have to drop the transfer case about 3", but that would only address the vibrations. The addition of the coil spacers would cause them to bind and damage the coils if you could flex, but again with the factory control arms the flex would be very limited. Also if you take it off road there is a high probability that you will damage the front control arms, and the poor pinion angles will probably cause ba caster angle that will eat up your tires.
Zone makes a relatively cheap but well reviewed 4" kit that would probably work for you, and if you are watching budget look to cut the body lift down to 1" and that will give the clearance you want for 35's without causing too many other problems.