Raising capital for subsequent house purchase to rent primary rez

[Carin Moore]

My husband and I would like to purchase a new primary residence and rent out the home we currently own in Woodinville (Seattle area suburb) as an entree into real estate investment. Is there a way to leverage equity from our current home to secure a jumbo loan? I believe funds from a HELOC must only be spent on the home you leverage the loan from. Yes? We could do a minimal down payment for the new home, but we prefer to put more money down since the market is so competitive and it is easy to get outbid on a property here if your down payment is small. Any suggestions? Thank you!