HELOC, Refi, Appraisal?

[Christine Smith]

We just finished a standard refi on our 2-on-a-lot to get out of our FHA loan, and reduce our interest rate. It's finally finished (after 4-months) and we ended up getting a real low ball appraisal. We didn't challenge it just so we could complete the transaction and be finished with it. But in my estimate (knowing the neighborhood and the income of the second house on the property), we were appraised about $50k to $75k under what we could sell it for today. Our current property apparently is odd and appraisers don't know how to evaluate it fairly, because 2-on-a-lots are not common in our area.

Now, we're looking at ways to finance our next purchase and thinking of using a HELOC for the down payment - my question is: will we be able to do a new appraisal (or be required to) for the HELOC? And what are our chances of getting a better appraisal on such a unique property for our area? As it stands, with our appraisal as is, I don't think we'd qualify for a HELOC.

Would love any advice you have! Thanks!