Capital Reserves

[Joseph Tate]

Quick question,

Are capital reserves paid into every year. For example, my first year I pay 250 a unit, so on a 100 unit building, the bank will make me put $25000 in capital reserves. Say I don't spend this money, do I have to put another 25000 in the next year or do I have an extra 25000 dollars in cash flow the 2nd year I own a property vs year 1? Thanks in advanced! 

[Brian Adams]

@Joseph Tate, the $250 pu will be an annual obligation to fund the reserve account regardless if you don't submit invoices to your lender for reimbursement.