Figuring out my next move?

[Teawanda Wells]

This is the situation. I have a SFH rental that is tenant occupied and completely paid off. I currently live in a townhouse with about 50% equity and a small mortgage payment. I am currently in the market to buy a SFH to live in. My initial thoughts were to sale the townhouse. After getting pre-approved for a desirable mortgage with me keeping the townhouse my thoughts have shifted to now keeping and renting out the townhouse as well. I will need to put some $$ into the townhouse to get it rent ready and would like to get any suggestions on how to do this. I had one suggestion which was to 1st close on the new home and then take out a HELOC on the rental property. Is this possible? I've also had a suggestion to get a hard money loan. Just trying to figure out all possible solutions.

Thanks for any suggestions.