Should I do a cash out refinance on first rental property

[Derek Back]

I am new to the investment property game and just purchased a condo using a home equity loan (HELOC) off my personal house. The HELOC is for $80k and I purchased the condo for $75. The loan is interest only payback at 4.99% for 10 years. After all expenses are paid I have been putting all the cash flow which is about $650 a month back into the loan. I have had the rental for 6 months now charging $1400 a month. Doing this the loan will be paid off in about 8 years. I want to buy another property but have most of my money tied up in the condo. In order to get the cash back I would need to refinance into a mortgage to pay my HELOC. But a 15 year mortgage would be at 5.5% with a payment of $1150 a month (including taxes, condo fees) only leaving about $100-150 cash flow after I account for vacancy, insurance, and repairs. I could also opt for a 30 year mortgage at 5.75% which would be a $950 payment allowing for about $350 cash flow a month after adjustments. I would just be paying a ton in interest over that amount of time so it doesn't seem worth it. I'm just looking for some advice whether I should just keep it in the low interest HELOC and spend another year or more saving money for a down payment on an additional property (my plan was to purchase 2 in 2019). If I bite the bullet and get a mortgage I feel like I will be turning a very good rental into a mediocer one at best. Any thoughts? I know it's complicated hope it's something someone has experience with.