Take that money and buy RE in other growing markets, stocks, bonds, index funds, high yield savings, or probably a combination of it all. 

You will likely be in the high 7's or 8's right now but my heloc went up several points in a short time and that could happen again. 

That's kind of hard to stomach, and that in itself could be the cost of another SFH in my area.I also just despise paying high interest in general, so admittedly part of my reason for considering paying down the new mortgage is for peace of mind.

RE is highly cyclical and down markets can be painful for years…especially with leveraged properties.Good luck out there :)

:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+, zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680, some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

You can definitely get HELOCs on investment properties, but the interest rate is high. 

With high interest rates, we'd be looking at around $3800 PITI.

I live in NJ, and it has a very high cost of living and with the current rate of interest, makes it a very pricey market so to say, and not that investment real estate friendly.

Anyone with directions will be highly appreciated.I am thinking of buying a 4-bedroom property that has some potential for student amenities.

But if it's priced a little high or the listing is a little funky there might be a way to get them to look at your offer.You might offer your price as cash plus a small second mortgage to them as owner financing.