Cash out refinance is the way to go since rates are lower than Helocs and its over a 30 year versus a shorter LOC.  

@Kerlous Tadres mentioned he has some duplexes that will meet the 1% rule.

USDA does require the property to be your primary residence and meet the occupancy requirements for the property. 

You will have to build back up your income to be lendable to get the best owner occupied rates from banks.

Aven's rates were quite a bit higher, but I understand the risk tradeoff.However, I'm annoyed by these companies that make it difficult to get someone on the phone and want to do all biz by email!

With current interest rates and prices most homes on the market are not going to cash flow right out of the gate.

It’s different with SFH, as conventional funding rates is often too good to pass up.

Some argue that if interest rates drop, buyers will return aggressively.

Giving some rough numbers, let's say the interest rate when they purchased was around 3% and they offer to sell to us for $100,000 cash. 

Not sure of the rate in the current environment.