Convension vs FHA

[Andrew Meyer]

So I am under contract on a duplex. I can do a 30 year conventional with 15% down at about 4% APR, or a FHA with 3.5% down at about 4.65% APR. Pretty much it works out to be about $160/month difference in payments, but keeping 18.4k money for another deal. Also the coc return for conventional is around 25-30%, coc for FHA is almost 100%

So is that 18k in pocket worth 160/month? I figure that I am paying roughly 10% APR on that 18k, but if I can invest it in another duplex and be MAKING 30% coc return from it, I would be making more from my money.

Also, I will need to take into about that after a few years the PMI would drop off the conventional loan, so I would be saying another $75-100 at that point.

Am I missing anything? Any one have any suggestions that I missed?