I had to get a home equity line for about $20K, which put my first and second mortgage at $153,600.

Sounds like a cash out refinance would be the best way to tap into that equity. 

@Dan AudinoFor path #1, is your eventual goal to rent out the property?

Interest on a loan used to buy or improve a rental property is ALWAYS deductible against that rental property.

I am looking to add a 2nd investment property to my portfolio but I have no cash to do so.

@Lauren Ruppert Yes, an LLC can sell a property to your child’s LLC, ideally at fair market value (FMV) to avoid gift tax complications.

You might want to consider using your equity in the land as your contribution to a partnership with someone that brings that sorely needed experience to the table.

You do not need a separate LLC for each property or a series LLC!

Hi, Are there any lenders offering HELOCs or second mortgages on rental properties with equity?

I appreciate that, and you're right, any back-of-the-envelope calculation suggests that much of the wealth comes from the equity accumulation, even in the earlier stages of the amortization schedule.