This is the same approach we're using at Wikipendium[1] for math-heavy article editing - Markdown with inline LaTeX math segments edited in a CodeMirror editor. It's cool to see others tackling the same problems in similar ways.
We use Mathjax[2] for rendering LaTeX client side, but have run into some performance issues as the number of math segments increase on a single page. Paperman seems to be using something called MathQuill[3], has anyone here tried using it on large amounts of LaTeX math? KaTeX[4] is another possible alternative, and certainly the best I've tried in terms of performance, although it's still a little lacking in terms of symbol support.
[1]: https://www.wikipendium.no/ [2]: http://www.mathjax.org/ [3]: http://mathquill.com/ [4]: http://khan.github.io/KaTeX/