Cash out or equity loan

[Whit Kirtley]

Looking for advise. Recently converted primary residence to rental back in September. Purchase in 2013 conventional loan @ 3%. It's appreciated quite a bit and we are now looking to extract cash for more investment before rate increases make a refi or helo/heloc detrimental to cash flow. I'm Leaning toward the helo because I can get fixed rate for up to 60% LTV for 20 years and keep the 3% primary loan as a safeguard against falling rents, if that ever occurs. However, I'm also concerned that helo wont have tax deductable interest. The refi will roughly double the deductable interest while also doubling my rate for the duration of the loan. At this point im not exactly sure whether the funds will be used for an flip or rental, but if I go with the helo, the plan is to pay It off asap.