LOC on a rented SFH which has a VA loan

[Tyler Buck]

(Cross posted as I posted it originally under the creative financing section)

I have a previously occupied SFH that is with a 2.75% VA loan. I've had it rented out for about 4 years now and it's sitting around 180k remaining with a market value of 330k-340k.

I'm finishing up another renovated townhouse in the area and that one went up from 1200 to 1650 monthly rent and it garnered about 75 inquiries in 12 hours. So there's a seriously hot market for rentals in my area. I have a few in mind that would be worthwhile to acquire and rent out with minimum alterations. I'll have to leverage some capital from the above to make those work.

I really don't have any appetite to refinance a 2.75% with a 6%+ rate to leverage the equity. I used an LOC on my primary to close on a duplex this year, so I can't touch that for now. I think a LOC would be the best option on this other SFH, but I haven't found too many lenders that could accommodate a LOC on a rented property.

Any ideas or other suggestions?