‘Cash Out Refinance’ or HELOC?

[Mike Dodd]

I'm wanting to buy my first rental property this year. I'm about a month out from finishing renovations on my personal residence. My plan was to in a way to do a BRRRR except that I would continue to live in the property. I bought the house over 2 years ago for $142,000 and currently owe about $124,000. When I'm done renovating I believe the ARV to be around $180-190,000. My plan was to do a cash out refinance, then get a hard money loan and buy my first rental to BRRR.

My question is would it be better to do a cash out refinance or to take out a Home equity line of credit to put towards the rental?