I have certain amounts that i want to divy up to go towards future expenses (capex etc).

This seemed like an easy process at first, but now I am concerned about the best way to go about this without violating my current loan, a future equity option, and potentially putting this plan in jeopardy.I would like some advice on the best way to strategically go about this process.  

Unless, of course, you may move back into the house in the future and want to keep it for that reason.

So the only way I'm making some money in the near-term future is by getting a new building in my name.

The amount you took in depreciation will most likely be taxed at 25%.Finally, you mentioned rolling money into another home- I'd look up "1031 Exchanges" on this forum, because if you plan on rolling money from deal to deal, it may help you defer the capital gains taxes in the future.

However, we were informed today that our closing has to be pushed off to a far-off future date (rate will no longer be locked and basically will have to do the financing process again) due to an issue we haven't run into before, but seems simply not legal to us, so we hope we can get some assistance.We only know as much as we have been told, so here we go... the home we are under contract for was sold to the current owners via an owner carry, so the note is held by a private individual (the owner before the current owners).

@Winn Cook, I would be more concerned about the future buyer's inspector.  

 #2 - you learn a lesson (this sucks, but you realize you needed to learn it to succeed in the future).  

If the down payment that you need equals the entire 70% to 80% in value of your SFR, then I would go with the cash out refinance and get a fixed rate.If you only need 20% of the equity for the down payment, can pay it off relatively quickly, and want the rest of the equity accessible for future use, go with the HELOC.  

Thanks, Eric.I believe you are correct with your prediction of future growth in the sac area.