Using paid off rental as down payment for DSCR loan

[Palmer Thomas]

I have a paid off rental (approximate value $150k) that I was wanting to use the equity as a down payment on another rental house purchase ($200k purchase price). Is this a common thing most DSCR lenders can do? I do have the cash currently on hand for a down payment, but have future expenses I would like to keep if for. Would doing this basically double the lender fees since I would essentially be taking out two mortgages?

Also, if I was to take out $50k from the first property to put a 25% down payment on the second house, would there be an easy way to tap into the rest of the equity in the first house if I wanted to take another $50k to buy another house in the future?  I'm guessing it would be more fee friendly if I was to take out the full $100k from the property then only use half for the down payment and save the rest for a future purchase.  It's just that in this market deals are few and far between and I don't know when or even if I could find another deal soon.