Business Lines of Credit Secured by Real Estate

[Joseph Duenas]

I was hoping to get feedback  on business lines of credit  secured by free and clear real estate.   For the sake of this discussion, here's an example scenario: 

 If a person had 5 properties free and clear, valued at $200K a piece,  for a total of $1M (free and clear); how much of  a line of a business line of credit could they secure against the property, and what would be a favorable and acceptable rate the banks  should charge.  

Finally, would banks allow the money from the  business line of credit to be used as a down payment on future mortgages? Thank you!