Savings needed when purchasing multi-unit

2 Replies

Good evening everyone,

I am trying to purchase a 4-unit property. Is there a general rule of thumb regarding the amount of money one should keep in their pocket for a rainy day when purchasing a multi-unit property? My money is invested in my employer's 401k and Roth IRA. Since those retirement accounts are not as liquid as cash and I would only pull money out of those accounts in a real emergency, how do I account for the money in those accounts when saving for a rainy day fund?

@Nicholas L. thanks for the response, I'm planning to consider my personal expenses + housing expenses when saving.

For my housing expenses, I was going to include operating expenses such as (taxes, insurance, utilities, etc) and then the mortgage and PMI.

Is there a general rule of thumb for the number of months or years one should save for their personal + housing expenses. Also, for the housing expenses, should I be considering the things I mentioned above in terms of what I should be saving for for a rainy day fund?