Refinance / mortgage with cash out? Or home equity???

[Tresa Gibbs]

Have a home worth 85,000.@ 8.5 %.paid down to 25,000.   Want to buy double wide 0n 3 lots with privacy fence.one lot with seperate septic. Asking price 10,000.   My son is trying yo finance.both have fico at 535. They r working with Lexington law,on credit help.  We were thinking on refinance our mortgage with cash out at a lower rate than the 8.5% -that it is curently at.looking to get 35,000.in order to pay cash for mobile home with 3 lots.then renting it out to own .To son. Or would would a home equity be better ? Looking for advise.mine and husband's credit score is 610. If we  are able we will buy the mobile home with cash. Any help would help.thank you for your time and help..having hard time gettin finance do to low amount ,and it being a mobile home. Area is in tx panhandle