On the surface, it looks like the interest-only is a better deal (less down and less per month) accept that every interest only loan that I know of is variable and has a relatively short balloon date.

-My low variable interest rate will expire in about a year so my interest rate will go up by at least 1.5% then.The positives of holding that I see are:-I have a positive cashflow of $380/month-The property is appreciating (although not as much as other areas).

I would also highly suggest looking for a good property manager, especially if you're going to look out of town.There are tons of variables to discuss, but...

all cash,Using the same calculator I found online to do my original caclulations in my original example, and plugging in your variables, I came out with the same numbers.Using your numbers (and mine), Total interest over 30 years =$139,509 Adding $100/month drops it to $89,002 and 247 months Adding $200/month drops it to $66,813 and 193 months Adding $300/month drops it to $53,863 and 180 months The way I made my conclusions were:Adding $100/month saves 139,509 - 89,002 = approx 50kAdding $200/month saves 139,509 - 66,813 = approx 73kAdding $300/month saves 139,509 - 53,863 = approx 86kSo at an additional $100/month, you save 50kSo at an additional $100 on top of the $100/month ($200 total/month) you save 73k-50k=23k more.So at an additional $100 on top of the $200/month ($300 total/month) you save 86k-73k=13k more.So with every additional $100 you add, you get less and less savings per extra $100.

It should help you see how changing one or two variables can affect a purchase.http://www.biggerpockets.com/recritic.htmlLet us know how it goes.

At first blush I would say that if you know for a fact thatyou'll be making more during "retirement" than now, don't defer taxes until then...pay now the cheaper bill.But I have to tell you...there are so many variables, youreally need a financial analyst to go over your stuff carefully -- make a spreadsheet for you -- and get somesolid advice.The reason I say that is this...if you defer taxes now, whatuse will you put the money to?

The variables are. 1.

Are there any public or commercial tools available to track theses variables.

But, when your strategy won't work in one area, don't think it's a flawed theory, it may be the wrong timing in the market.So, your buying patterns should be based on market, pricing, timing, and your ability to handle and analyze each of those variables.

There is no variable in my offer.