HELOC Loan Scenario/Question

[Kishan Kamath]

Hello All,

I have a scenario which I am planning on implementing which I am looking for feedback on whether it’s a good idea.

I currently have 2 properties, one is a townhouse in Northern BA which I have rented out which is cash flowing a little bit but is more of a buy and hold type property. I took out a 39K HELOC loan on that to fund the down payment on my current condo where I'm currently living in. Would it be a good idea to pay off the 39k HELOC loan and then go to the same or other bank to get a higher limit HELOC loan for around 60-70K which is what I need to fund the down payment on a multi family unit which I intend to use solely as an cash flowing rental investment property.

Would you say that this is feasible or is there another funding route I should take?