Example: $500,000 Purchase Price $100,000 Downpayment @20% $400,000 Mortgage @ 80% $2,528.27 Mortgage Payment @ 6.5% $416.67 Property Taxes @ 1% $104.17 Homeowners Insurance @ 0.25% $104.17 Special Taxes and Levies @ 0.25% $100.00 Homeowners Associate Dues or Fees @ $100 $625.00 Maintenance and Replacement Reserves @1.5% _________________________________________________________________________ $3,878.27 Monthly Cash Cost ..................$2,166.67 Interest on First Payment $(567.71) Tax Savings @ 25% of mortgage interest and property taxes $(361.61) Equity hidden in payment $312.50 Lost Downpayment Income @ 5% of Downpayment _________________________________________________________________________ $3,261 Total Cost of Ownership