General Real Estate Investing
Market News & Data
General Info
Real Estate Strategies
Short-Term & Vacation Rental Discussions
presented by

Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Creative Real Estate Financing
presented by

Tax, SDIRAs & Cost Segregation
presented by

1031 Exchanges
presented by

Real Estate Classifieds
Reviews & Feedback
Updated about 6 years ago on . Most recent reply

CapEx Reserve - Rental Properties
Hello BP friends!
What's the rule of thumb for creating a capex reserve? (as a percentage of total revenue)
At day 1 of owning the property, do you typically have some $ sitting in the reserve?
Most Popular Reply

When I started buying properties I didn't even know what reserves meant. I was about 6 properties into investing, both guns blazing, working half days (12 hours a day) trying to accumulate more.
Today I review a calculate reserves at around 7% of gross rent.
Frank