Without an exact numbers breakdown of each option (which should obviously be my next step), I think my ideal situation would be to sell the SF and roll the equity into this, leaving me with a modest holding cost that I can absorb with my stable W2, and keeping the HELOC for any larger ticket items I need during rehab.

@Michael Herrmann don't forget cost of capital and closing costs.

I actually just want to rent it out and keep the equity in it.im pulling out of my 401k for a down payment and my wife is going to pull 50k out of her trust fund for rehab cost on the 2nd house.i was mainly talking about after i rehab the second house(will be my new primary).

And dun the security deposit for the amount that it cost to restore it.

We cut our own with a builder’s supply purchase 8 years ago, still looks like new and it only cost like $150 plus the saw blade (small galley style kitchen).

I recently had one property get near $50k in improvements and it cost me $2,500. if that ain't ROI I don't know what is. 

Your insurance costs look high for a house in that price range.

I've just had a conversation yesterday with a client of mine to add cost segregation to her sax strategy.

They like to see a single policy with a single property so the costs associated with it are crystal clear. 

This can go towards covering unexpected maintenance costs or damage to the property.