That'll be debt coverage ration which usually needs to be >1.25.Best thing is to call a mort broker and ask for a couple of minutes - Way better than blog posts no matter how helpful they want to be.

Gabriel Farfan I think you are asking a fair question and getting silly answers from a few local posters who want to rationalize that their isn’t a reasonable reason to invest out of San Diego.In you circumstances I would seriously consider the Southeast part of the US.

Back off and make a rational, bloodless decision.

Just to clarify, are you saying that we would own the property at a 75/25 ration (our financial contribution), and then I would take 20% of the cash flow off the top, splitting the rest between the two of us at the same ratio as our financial investment (75/25)?   

How do I have a rational discussion with someone who believes 20+ red and brown stains on carpet is acceptable?

The 65/25/10 is a slightly different ration to keep the primary loan conforming at 510k, with a HELOC at ~200k.

If I get downsized, I get another job, because there will always be room for good engineers in my field, there will never be a time when there won't be jobs for engineers that any rational person could foresee.

If you want to discuss things rationally, fine.

What is the rational not to invest in Sacramentoit over 50 % less than the bay area and rent appear to be okay

@Marshall Barta- if planning to try to buy in May - you should  begin the loan pre approval  process  now  ...by  doing this you will see if you are approvable for  what you want to do and  you will also learn more about the  process and the  numbers  ( payment amt / cash needed /   qualifying rations  etc ...) ....the pre approval  process is  easy and  should be  free