How did you finance this deal?

Option 1: 1031 into another STR, target price $1.1-1.4m.

@Jay HinrichsYou are correct, I should have explained in more detail as to not give the idea that the second point was a viable option.

My husband and I have an opportunity to purchase a single-family rental portfolio in our out-of-state investing market that is owner-financed.

@Gino Barbaro I have contacted a couple of mortgage brokers the only products they are offering are actually worst terms than commercial HELOC options with rates around 10.5, where with the residential I am currently getting right around prime rate.

Other finance options typically have worse terms. 

Feel free to reach out if you need anything else, or if you would like to talk financing!

Considering your goals of paying off construction bills, removing your co-signer, and investing in another property, a cash-out refinance could be a viable option as you would be able to tap into your home's equity.

If your house would sell for more than the money you put into it then the question becomes how to finance the renovation rather than to do it or not.

Better option is to use the search feature at the top right of this site and spend weeks reading about wholesaling.