Cap rates:  Cap rates have been expanding, but sellers think they will tighten. 

I’m thinking with a 2.25% rate, that’s a good mortgage to hang on to if it performs well as a rental.

They typically offer lower interest rates compared to DSCR loans because they are seen as lower risk.

The terms are also similar to conventional investment property loans - 30 year fixed rate, 30 year amortization (or up to 10 years interest-only).

And it's very pertinent to today's environment because it doesn't look like interest rates will be coming down much, if at all this year.

@Kyle McVay I self-managed my first 5 units and then transferred all new units to a PM.

A line of credit is adjustable rate with interest only payments that will have a "draw" period usually of 3-5 years for investment properties (usually 10 years for primary home) then will amortize over the remaining term after the draw period.

Navy Federal does HELOCs on investment properties…not sure if LLC is OK…and rates are in the 10.75% range for an investment HELOC in March of 2024.  

Long term interest rates should continue to increase.  

Since interest rates are now higher than the mortgage on your current home, you'll want to calculate that monthly difference.SIMPLIFIED Example: current house mortgage interest rate is 3%, balance $250k.