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Updated over 10 years ago,
Money management during building period
Hello,
I am new to this community and to real estate investing.
The way I handle my personal finances right now is essentially the bucket method. I spend 25% of my paycheck and put the other 75% away. That money fills my bills/emergency fund (3mos expenses) then spills over into my savings bucket.
Assuming I continue to work while building my rental portfolio would this be a good method to use to manage the net cashflow from my properties?
I was thinking... 3mos expenses (bills vacancy) -> 6mos gross income (maintenance/emergency) -> 6mos gross income (new property aquisition) -> free and clear profit.