Sufficient Cash Reserves

[Account Closed]

There are a plethora of investors with years of experiencing on this site and I was hoping to glean some knowledge. I have one single family home rental and I am currently looking to acquire a small multi-family property. My plan is to keep 5K per unit in cash reserves as the portfolio grows. What have you found is a sufficient amount of capital to keep in reserves for 1-4 unit properties?

[Peter Tverdov]

I set aside 8% of annual gross rental income for maintenance expenses/capex/etc.

This number will vary based on the age of the property, income it generates, etc...it works for me. 

As for actual reserves if you have vacancy. I require myself to have 6 months of PITI per property, which is also a bank requirement. Those reserves are cash, stock and/or 401k. Credit cards and HELOCs are not a reserve.