How much Cap Ex do you hold?

[Amanda G.]

It seems to me that Cap Ex is a very important part of evaluating a deal which investors tend to under-estimate. My current rule of thumb is to plan $1,000/year per unit.

First- do you agree with that as an estimate?

Second- That's all good for evaluating deals, but in real life, how much reserve do you keep in hand for roofs and AC and the other big items?  I imagine that this changes with the scale of your portfolio. With 1-3 properties, you probably want to keep a portion liquid. But with more does your ratio change? 

Third: I imagine that HELOC's are a good option for this kind of thing. What is your experience?