Unless this is an outright eviction scenario, absolutely do not give her security deposit back.

I've read that they take a security interest in your home and their fine print says they can call the amount at any time (though I'm sure other loans may say the same).

Thanks,Ani I recommend putting in a security screen door.

You'll also need a way to collect your security deposit(s) and rent.

If the Fed does not increase buying of mortgage-backed securities, the mortgage rates will not drop significantly.

I would use the HELOC for a down payment on the prospective investment property and then try to secure a conventional loan(right??).

Given your situation, we can look into options for securing a loan for the land purchase.

My question is, should I pay-off my primary residence mortgage to 1)Get peace of mind and some sort of security 2)Opportunity to borrow from my equity if needed 3) Extra cashflow to save and invest in another rental property in the future OR should I keep my primary residence mortgage (due to the low interest rate) and purchase another rental property instead?

I set everything up as I understood it in this thread, with the security deed to my LLC, which i am sole member. 

I'm fine with combing the market for deals, just trying to find a way to legally secure financing without a due on sale clause raining on my parade.