HELOC or refinance? Pease help

[Aqil Dharamsey]

Hey BP - Need help deciding what's better: HELOC or refinancing. I am sitting on a few properties that I own free and clear. I am looking to buy additional properties this year and wondering if I should refi and cash out or just have get a line of credit against the houses and use the money at my leisure. Rates are about the same on both. The biggest advantage I see if that on a refi I will have a payment every month even if I don't use the cash out money. Has anyone on here recently been in this situation. Any advise will be helpful. Thanks!

[James Barnhart]

You may want to consider what i did. I used HELOC money to acquire the property, for cash that needed some TLC. So, I bought it, fixed it up, then applied for a conv 80/20 mortgage. The bank appraisal was high enough that I was able to get almost 100% of the money I had in it, back out as a loan. I then paid off the HELOC and have the house for almost zero money invested in it. I will rent it now, and see what then resale market looks like in a year or 2.