I understand your concerns about owning a home and purchasing a 2nd home. the figures you have quoted are not exactly accurate. A monthly payment on a purchase depends on many factors like how much you are going to put down and what the taxes and possible HOA fees might be if you are in a neighborhood that charges those. I have a few other questions like do you have or do you intend to put your home on the market in order to avoid two payments which you will have whether you rent or purchase. Have you considered renting out your other home until the market recovers and you can make more on the sale of it. In the meantime you could purchase as it is a great time to buy with property values down in the area and interest rates low. You could purchase a lot of house for a $1200 payment.
Please feel free to contact me if I can give you more answers or you would like to discuss your options. I am available for information even if you do not purchase a home and I can help with rental properties as well.... more