HELOC to invest with

[Kenneth Kussman]

I have a single-family home rented out that has good cash flow. I recently refinanced it to a lower interest rate and added a little more cash flow as well. 

I am employed so I use the cash flow from my current rental for maintenance, improvements, and reserves for the property. I have about $125,000.00 in equity at this point.

I would really like to invest in my second rental property. I am trying to decide if I should use a HELOC to purchase a second rental property or just keep saving towards a down payment for a second investment property.

My current rental property is doing so well, I plan on holding it,  so I am hesitant on pulling equity out.

The property I would invest in would preferably be a buy and rent-out property.

Any opinions or experiences ?