Bank Accounts for Multiple Properties
Hello, I am a newer member to BP, but am looking forward to learning as much as I can from all the experienced investors here. I currently have 6 rental properties and am curious to know how others with multiple properties handle banking.
1. Do you have all your properties rents deposit into 1 bank account or have them go into separate accounts?
2. How do you handle reserves for each property when using 1 bank account? Do you have a general rule such as 3-6 months reserves for each property and then try to maintain that balance times the number of properties if you are using just 1 bank account?
3. Would you use this same bank account that rent and reserves are deposited into to also draw for remodeling other properties or recommend a separate bank account that is used just for these remodeling draws for properties that you buy and rehab before renting? Most of the properties I am now looking for require some updates before renting so am curious what the best way to handle banking for these rehabs would be from an accounting standpoint.