What would you do next?

[Kriston Johnson]

Hello BPers

Curious to hear what would be your next steps on this type of property. HELOC or Cash out refi.

I just completed the rehab to the top unit of my Duplex and placed a great tenant. Purchased the duplex in 2016 with tenants living there and rents were below market. since then I replaced both tenants and completed rehabs in both units. 

Numbers:

Purchased 2016 - $52,000. Cant find these deals anymore

Mortgage balance $29,000

Monthly Mortgage $290

Rents before rehab $1000

Rents now 2020 - $1600

total rehab for both units $16,000 -$17,000, New roof also

I believe it should appraise between $120K-$140K. Not many duplex comps in area but area is growing rapidly with renovations and new construction 2 miles away. 

Im thinkig HELOC as I never did a cash out refi so Im not that comfortable exploring it yet. Looking to hear your thoughts if this was you what would you do? Thx