putting 20% down on $200K will be a $160K (first position)note.

I also can take out a home equity line of credit on my current home....but I need direction. 

I don't have a project lined up currently, as I think the project targets vary greatly on the result of this decision since there is so much equity in the condo.

@Timothy Frazier  This will be tough as the HML will want a 1st position loan, but so will the other lender providing the rest of the funds. 

Equity is your frozen cash that you access as it grows to build your portfolio 

Based on how I am reading your summary it sounds like there is solid equity in the 2-family in order for a bank to cross-collaterize assets. 

Reverse Mortgages (HECM or Home Equity Conversion Mortgage) can be a FANTASTIC tool! 

Quote from @Antoine Black: I have a house that free and clear and I'm trying to tap in the equity can any one help  Hey Antoine, As Mike stated, your best bet is a local credit union.

correct but in Shilohs model there is forced equity turn key model there basically is no equity or negative equity if one has to sell within 2 to 3 years as transactional cost will eat your equity.. 

I also have no problem doing some sweat work to build equity in the beginning as well.