Refinance,Cash-Out Refin or Heloc

[Arsenio Davison]

Greetings to you all

My wife and I purchased a sfh 5 yrs ago FHA where we still currently owner occupied. Not interested in selling or renting right now but maybe so within the next year. We have almost 100k equity in it.

My question is I was originally going to go with a HELOC instead of CASH OUT because of the pros vs cons associated with the two before all this craziness with corona virus. But now since the interest are better than what I currently have(probably about .50 to .75 point)I am leaning towards just a refinance to lower monthly payments and get rid of PMI on the FHA and go Conventional. Then after 6-12 months(seasoning) get the HELOC and also have the availability to use FHA again on new purchase with low down payment.

Does this sounds like a more financially educated move or Should I get the Heloc now for potentially deals? Any advice or suggestions are welcome thanks.