Real estate properties similar to the one discussed will inevitably require capital expenditures, which on average for the author's properties, amounts to $5,000-$10,000 annually and should be reserved for.
"For me on properties like this that would usually come out to5 8 $10,000 a year...that's money that the business is going to come calling for one year or another right it's not my money to go spend on my lifestyle or whatever I want to do with it I think of that as the business's money you know I'm just going to hold it in reserves and one day the business is going to need it"