Creative Financing-HELOC and Cash Out Refi

[Ryan Fell]

Apologies if this has been asked before, please just point me in the direction of that post if so.

Looking for creative ways to get a good chunk of cash for first property.

We have the worst house on a good street. Houses have sold recently from 500k-950K, our mortgage was for 350k and we have about 90k in equity currently.

Does it make sense to:

1. Take out a HELOC and upgrade our house

2. Do a cash-out refinance on the original mortgage after improvements

3. Pay off the HELOC and use the remaining cash for first property?

I may be way off base about how the HELOC even works and how to pay it back

Thanks,