Hey Jake, If your exit strategy is to pay off the balance asap, I would advise doing a HELOC.But I would consider a traditional refinance if you do not have an exit strategy lined up to pay the balance off immediately  and your blended rate (1st + 2nd Mortgage) is significantly higher than a standard cash out refinance. 

I have many more questions from a financing perspective.Is a DSCR the best option to bypass the seasoning period or are there better options to recoup that trapped equity?

They Seller Finance it with a balloon at 3 years, with the expectation you'll have established residency and be able to get a traditional mortgage. 

You can probably do it in areas without zoning or farmland, but it is very difficult in a traditional residential zone.Your best bet is to look for areas along busier roads that are currently residential and turning commercial or already turned commercial with lingering residential.

Creative Deals and non-traditional deals connoisseur here!

I own them free and clear.I have contacted traditional lendor for a loan but looks like they can't close in time.

It is the only calculator of its kind to help you determine: if househacking is a better investment than a traditional home purchase, how long to hold onto the investment before selling, how long to live in the property, and which unit to occupy.If this will be a traditional rental property investment (not a househack), select ‘renter’ for all units under the Summary Tab’s ‘Property Information’ section.Metrics used for the deal analysis:The purchase price is based on the median sale price - $1,450,000 Unit bed/bath counts are based on the median 5 bed/3 bath counts for sold Astoria 2-family properties this year.Projected rents are $3,200 and $3,900 respectively as shown in our median rents for 2 bedroom and 3 bedroom apartments.Not included in the analysis is ADU income.

Hello Jim,Evaluating prospective tenants who do not have a traditional credit score can be challenging but still feasible, and I appreciate your fairness. - Some credit bureaus and services (like Experian RentBureau or Esusu Rent) offer alternative credit reports that include rent payment history, utility payments, and other recurring bills.

Lower cost of funds at higher LTV than bringing in investorsWith the right SBA lender, you can close within 30 to 45 daysBetter fixed rate pricing with 504 program than traditionally bank financingGenerally more flexible underwriting with SBA 7a, and the right SBA lender

The custodian is bypassed and you can make payments and deposits into a checking account owned by the retirement account.