(hopefully the appraised value is at least more than what I am into the unit for)  My issue is I want to be able to have a little cash to use toward the next deal, and maybe even over time build up cash reserves, as well as pay myself for living expenses.  

I am planning to build up some cash reserves and then hopefully in 3 to 5 years drop wholesaling for just flips and holds depending on the deal.  

Now I just need to figure out how much cash reserves I'm expected to have. 

You're also going to need at least 6 months of reserves for the investment home so please keep that in mind Tracey.

It's really difficult to determine.Also disturbing that the OP reported cash flow without anything for maint/grounds upkeep, reserves, or property management, and called that cash flow.

You will need reserves for when the tenants do not pay and you will be evicting (paying out money instead of it coming in).Banks are doing 75% LTV.

Do you have a reserve account (401K is great for this).

The bank may have reasons like feeling it would be detrimental to the business to withdraw that amount from operational funds for the business or it might ruin the reserve requirements.

After my fourth home the cash producing from the properties helped increase my reserves (which seems to be the biggest problem with trying to buy 5-10 homes) and the cashflow outside of the reserves now fund the down payment for future homes.

~~~~~~~~~~~~~SFH - 4BR/1.5B - 1300sqftPurchased for $49900 (30 fixed - 20% down) [rentable condition as-is]Rent Comparable - $1150/month10% property management8% vacancy15% repair/maintenance$400 insurance$2300 taxes$5k rehabEstimated Cash Flow - $358/month pre-taxEstimated Cap Rate - 13%Estimated Cash-On-Cash Return - 17% (includes estimated down payment, closing costs, reserves, llc formation, rehab)Estimated Full ROI - $23% (tax write-offs, mortgage pay-down)There is probably some captured equity in there too.