HELOC question to buy rental unit

[Joshua Bailey]

I was planning on getting a heloc to pay the 20% down payment on a fourplex. They got back to me and said its easier for them to just pay my mortgage off with the heloc to obtain the cash I want. Interest rate in this case would be 2.75% vs just doing the heloc for just the 20% at 3.5%. These are not fixed rates. Opinions on getting the 20% down payment with these options or other options? My current mortgage is 98,000 and assuming the house is worth at least double that. Down payment needed of 20k. My current interest rate in 4.5%