HELOCs are not my primary business so I don't really look into them too much. 

I'm 30 with a family of four, just bought my first primary home this year.

Your primary insurance policy with $300,000 in liability coverage should be sufficient in 99.999% of all lawsuits.5.

Using some equity in the HELOC to purchase a new primary and to rent out the home we are currently living in.

If you’re planning on buying your new primary nearby, it will make being a first-time landlord much less stress inducing.

Assuming the insurance premiums don’t significantly impact my cash flow (which is one of my primary goals), how do you assess the risk of taking out a loan under my personal name versus opting for a commercial loan that requires a larger down payment and comes with a higher interest rate?

This way you can fix up your primary residence to build equity and also add a cash flowing rental.

You can acquire a primary residence as low as 3.5% FHA or 3%-5% for conventional.

Neither for that matter will a DSCR loan when/if you go to get a full primary home loan for example for the same reasons.

I am new to real estate investment and planning to start ramping up long term rental properties in 2025, however my first two primary residences were both converted into MIL's and rented within months after closing which effectively followed the House-Hack tactic (we currently rent our furnished basement to primarily traveling nurses for 3-6 months at a time which covers 70% of our mortgage).