Using Heloc for BRRR? Exit strategy

[Tucker Long]

Hope everyone is staying warm! Hoping to get some advice...

I own my primary residence free and clear, preparing to pull out equity to invest. I feel inclined to just cash out with 30 year fixed since rates are trending up, but do want to be sure HELOC isn't a better option before committing. I realize if I'm not constantly deploying the capital, there's a chance I'll pay more in interest with the 30% even at a lower rate. Property will appraise around $240k, planning to go 80% ltv if I go cash out option.

My objective is to continue building a buy and hold portfolio using BRRR (real creative, I know). I do have income from day job, so there may be situations where I buy something closer to turn key that flows, but I would need to leave some equity in the deal. In general, I'm conservative financially and don't want to leverage my investments over 80% ltv.

So, what I'm wondering is those who have purchased cash flowing properties without a ton of upside with HELOC cash, were you stuck with that 20% equity you have in the deal (or whatever % you put in) in the HELOC balance? Do banks that require you keep X% in the deal even allow you to use equity that came out your home, via a HELOC?

Thanks for any wisdom,