The first number I gave include none of that. The 2nd number, where I take tax deduction into consideration, I also add in 1.5% tax rate, which is much higher than the typical 1% tax rate in Mira Mesa. So that additional .5% can go toward insurance and such. You’re right, there’s no HOA or MR in this area. That’s the big plus for me.
I’m only using 100% LTV ratio to keep the calculation fair and simple. the 5.5% is assuming you can put down 20%. But if you calculate with the 20% down, then you have to add in the opportunity loss as well, which add complexity to the calculation. It’s not meaningful since we’re just doing rough estimate.
