Which Mortgage Option to Pick?

[Andrew Luhrmann]

Trying to decide b/w taking advantage of 3.5% down using an FHA vs 20% down conventional on a rental property. Rental income is around $4k a month. I am thinking I'm going to keep the cash for the next investment and save extra for maintenance etc. B/c it's a FHA loan Mortgage Insurance will never go away, but I think I can make 5%+ that in the stock market or of course for another real estate investment. Thoughts?

3.5% Down - Cash to Close $55k

MI: $415

Principal: $2346 

Total monthly (Insurance+Taxes): $3566

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20% - Cash for Close: $150k

MI: $0

Principal: $2061

Total Monthly (I&T): $2866