Grow wide first, then deep (pay off)- your little expenses add up fast

There are alot of risks using your heloc and you need to understand how you will make the monthly payments for the heloc AND how you plan to pay off the principle of the heloc.

Why pay off a low rate interest.

If you have a lender they should be getting lien releases as they pay draws.

Which would allow you to escalate that snowball payoff without having to use part of it to pay the tax.

Are any of the accountants you have looking proactively for tax planning opportunities as well?

You’re paying too much for each 1/4 point discount.

You should be able to pay off the loan anytime during that period, without any sort of penalty.

She informed me that she & her sisters plan to take care of the rent so he still has the home when he gets out of the hospital. 

There are quite a number of things that can make utilizing an FHA loan more difficult such as more barriers during appraisal, appearance of low qualification/little cash, typically longer closing period, likely higher interest rate, and PMI cannot be dropped without a refinance if 3.5% down.That said, just chain 5% down conventional loans, and make sure your duplexes pay for themselves.