HELOCs are good for short term debt: rehabbing for a BRRRR/ to sell or flipping etc.

Ensure the STR’s projected income comfortably covers new debt, even with conservative occupancy rates, and maintain reserves for market changes or vacancies.

@Michael Doherty and @Mike Auerbach and @Ellen Steele Don't forget the additional tax benefits available with cost segregation on the new basis as well as 179D.

I used a LOC to build a 12 site RV park in a small town, opened it up and 1.5 mnths later, I'm full occupancy and servicing the debt (some of it at 8.75%) & cash flowing.

He's a legit guy and we are now on agreement to purchase an additional 66 acres. 

Your 3% rate likely helps you with cheap debt and without the need to chase high that normal rental rates.

Congrats - are you putting zero debt on the property? 

My client is looking for one to consolidate some current debt and to finance solar.

Sec 8 here also inspects the home each year, in addition to your PMs inspections (if you have one).

The didn't live within their means, accrued a lot of debt, and it eventually resulted in them not paying rent and being evicted.Consolidating debt reduces their payments so they have more money available, but it doesn't automatically teach them to live within their means.