You are paying servicing fees which reduce it to $375 +/-.

It would mean just a higher cost for the rate is all which would reduce your cash back.  

While a 10% down payment will most likely reduce your mortgage insurance coverage requirement, a 10% down payment will not remove your mortgage insurance.

Sell *** much of the land as possible to increase the price and reduce your future costs. 

Another thing would be stress test the heck out of a possible refinance to see what that does to your ROI.  

Don't stress about being a newbee, a lot of us are as well. 

So it's time for me to take that leap, even if it's stressful.

Again, not a tax professional and you definitely want to talk to one to confirm, but this is just information I'm recalling from a CE class taken a while back.Also, I believe the $1 million threshold on the mortgage interest deduction was reduced to $750k back in 2018, if the subject property for the mortgage the deduction is based off was acquired after Jan 1, 2018.

If I make my this rental property my primary residence in the next 2 years before selling it, is it as simple as: 1) owning the property for 5 years 2) live there for 2 years,then when we sell, the capital gain could be reduced by the $500K (primary residence), or is it more complicate than that? 

So that reduces my ability in being able to buy a place unless there some way around this.