What amount reserves to keep in your rental bank accounts?

[Jonathan Farber]

Hey all, doing some financial planning this week as we are looking to add some properties. Call me old fashion, but I like the idea of having a few months PITI (Principle, interest, tax, insurance). Any good rules or thumb or recommendations from buy and hold investors on how many months reserves they like to leave per unit earmarked?

@Jay Dertzbaugh @Brad Farber @Ruben Kanya

[Sylvia B.]

We believe in being prepared for emergencies, but we don't fret too much over what-ifs.

We keep enough cash in our personal accounts to cover at least 1 year's expenses. We have no debt, so that is less than it might be.

We own 12 rentals, also debt-free. We have enough in reserves to pay the current year's taxes and insurance, plus an emergency or 2. Monthly receipts are enough to cover most repair/maintenance issues, including something major like a roof or furnace replacement.