Build reserves or next property?

[Brian R.]

I find myself at a choice. To buy my third rental property or to pad my reserves.

I would say I have pretty health and conservative reserves. While not my target should I want to sit and start siphoning off my cashflow ['up and running maintenance mode'] I am thinking a third property would speed up the flow of my cashflow to fill my reserves even higher even quicker and help make my portfolio even more buoyant [3 properties with one vacant is 66% occupancy vs. 2 is 50/50 or 1 being 100/0].

Didn't know if people had a rule of thumb they follow or like [ie. after 75% of target reserve fund goals are met the next investment can be made.]