4plexowner – if the mobile home purchase payment is equal to the rent payment, but the former has a portion which is tax deductible, then you come out ahead.

How much you end up ahead also depends on how much the mobile home depreciates in general, and how this market does. The idea was, with a cheap “home”, it couldn’t lose too much in value.

However, a 15 year payment plan will not have a tax benefit for too long, as the interest payments get small very quickly. I think w/ his income, he will benefit only by paying large interest payments, like $60K/year.

On $200K/year income, you would pay $53K in federal, and about $10K in state taxes, and then of course the $7K FICA. So it’s not quite half, I guess I had misunderstood the actual percentage. But it’s still too much, and makes him not even want to try for those bonuses, because at the highest combined rate of 33%+state income tax, you really start to feel like you’re helping the gov’t more than yourself.