turning primary residence into STR with BRRRR

[Bryana Voorhees]

Hi!

I bought my first house in Nov 2021 with an FHA loan. Did an extensive rehab on it and increased value by nearly double. I'm looking to now turn it into a STR and pull out my equity. I'm looking into HELOCs and Cash out Refi's, and have been approved for both up to $135k cash takeaway. Which would be the best option to roll the equity into the next property? Also, from what I understand if I take out a HELOC I cannot transfer the deed to an LLC for the STR. I'm trying to do what's best for my future STR business, but also keeping in mind my DTI ratio. The house is at the Jersey Shore where summer vacation rentals are not only allowed, but extremely popular.

Thanks in advance for any advice :)