HOW MUCH SHOULD YOU KEEP IN RESERVES??? Today's Dion Talk

How much you have saved could make or break you. Knowing what amount you need will makle it a lot easier to grow your portfolio.

Working full time doesn't make investing in rentals easier. However, investing in rentals is a great way to make work optional.
I was able to do this as a single dad with 3 kids and a bunch of bad debt and wasn't making a lot when I started out.

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Todays Dion Talk. With Dion McNeeley
I Suggest the following information sources: BiggerPockets, Meet Kevin, Chandler David Smith, One rental at a time, Graham Stephan, Minority Mindset and Kris Krohn.
#FINANCIALFREEDOM #rentals #DionTalk #FIRE #FINANCIALINDEPENDENCE #HOUSEHACKING #REALESTATE #RETIREEARLY

Are you tired of selling your life one hour at a time? Dion Talk is a channel that helps people understand how to reach financial freedom with rental properties. House hacking can be used in the strategy but isn't required. It just speeds the process up.
Passive income is a game changer. Buying cash flowing assets creates an income snowball. As the snowball grows you will be able to invest faster and faster. Before too long you can make work optional. Let me show you how to retire early.

What strategy do you use? House hacking? Wholesaling? Flipping? Buy and hold? Long term rental? Short term rental? Local or at a distance? Real estate or stocks? Own a business?

[loganh]

You and coach Carson are incredibly appreciated

[susiefrades-white]

Thank you so much! I just discovered you. I got my license a few months ago after a life time of doing the real estate thing, my now broker said she would pay for my schooling. My mother who is 97 owns an apartment complex with ten units. She gave me management. Units are a total wreck. 32 years of negligence from past company. Every issue you cover is so helpful! Cannot wait to watch them all.

[Jaybird]

I recently bought my first rental property, and found your YouTube channel after hearing you on the BP podcast. I really like the way you simplify things and I am gaining a lot of valuable info here. Thanks Dion

[ed]

Just found you on a B.P. interview. You call yourself lazy, but I would call it brilliant. You have a way of showing the average Joe how possible it is to become financially free. Don't need to know all the terms, all the financing, all the details just the actual C.O.C.R.O.I. DONE now go for it.

[eugenberzani]

Once again amazing video! Thanks a lot!!

[REQtip]

I also think reserves should take into account the age and condition of your properties. Older units are going to required more ongoing repairs esp. plumbing, roof, wiring.

[walkbyfaithandbudget]

When you have to renovate a property do you pull from your reserves? I house hack a duplex and I have a 10k emergency fund for the house and for myself personally. I don't cash flow anything right now I just pay $140 towards my mortgage. When buying another property do you save for the renovations on top of your dp and closing costs? Did you have the reserves before you purchased or after from cash flow? I found you on bigger pockets and you are the first person I have seen that I can actually relate to. I only make $33k a year and househacking has helped me so much.

[SerenaLChan]

KISS. I agree! I mostly invest in single families and I keep $5k flat in reserves

[FIRE_DrNinjaTurtle]

I normally have 75k total in three lines of credit as my reserve, but I recently used 42K of that to put down on more properties, but like you, I have W2 income and rental cash flow to pay it back in a few months.

[tinagarcia]

The honest truth I overwhelm myself thinking to much

[Richard-cide]

I keep 10-12 months of total monthly expenses in my reserves. It may be too much for some investors, but I had no stress when the pandemic hit and investors were worrying if their tenants were going to be able to pay their rent.

[rei_cowboy]

I put 10k in reserve for my first property and 2.5k for each additional.

[josevaldez]

2 questions Dion 1)Just to be clear, if say 15k is your reserves target on a 10 unit property, that does not mean you should have that much saved when you purchase the property correct? I mean, if I have it good but the whole point of setting money aside for capex, maintenance & repairs is to reach that 15k target. 2) Will you use your cashflow to reach that target quicker? and once you do, you typically invest the remainder. Is this the case? thank you!

[samwebeckehalversen]

I appreciate how simple this is- nice and easy!

[moonlightchild]

Man I have been watching your videos non-stop since I watched BP! Don't recall if you said you were looking to house hack again exactly, but if you're coming to AZ, I'd be glad to meet you sometime, Veteran to Veteran and investor to investor! Keep doing the great stuff you're doing Hooah!

[cesariolucas]

Keep up the great work. I like every single video. Hoping you get monetized soon.

[chihoolee]

Another great video! I was confused by reserves after reading posts on BP. I said waitaminute who likes simplicity and is lazy like me? Thanks Dion!

[tonycar]

Agree w you on keeping it simple. I have 2 units & 8k in case of major expense. One is a condo so I don’t need to worry about roof. I also work F/T job and have plan B w cc

[WealthwithRentals]

7 unit means 7 multifamily properties or 1 triplex and 1 fourplexe?

[matthewlawrence]

Great video... even the content was KISS for a new year like me!!!