An LOC on the rental will be nearly impossible.you have no history as a flipperno history as an owner/operatorand things like the LOC / REFI cash out usually require seasoning.It takes money to make money and your first venture will not be at the best of terms :sigh:

The homes in that area usually rent around the same square footage or less.

I usually try to attend the ones near the north shore area, but I usually am not able to make it due to logistics.  

They are usually worth every penny paid.  

Basically, you take on a massive amount of extra risk, courtesy of the Ontario Govt.I would consider it to be a red flag if they suggested that the checks will come straight to you.

Had I mortgaged it, I would have had a bunch of extra cash then for several other properties.

Is it better to pay extra toward your principal portion of your mortgage per month OR is it better to save for your next rental property?

Great way to learn while not spending any extra time.Hope that helps!

@Nick Rice I think all chris was saying is that the market as a whole right now is pretty hot, and there are bidding wars going on, "almost" everywhere, and when a buyer comes in with a FHA loan nowadays, usually there is a couple other bidders already bidding on the same property with 20%, 25% down, maybe even full cash, so the 3.5% down offer to a seller is a bit of a last option.  

They're usually used to working with investors and eager to give you a better rate than Joe Homeowner because it's easier to work in a vacant property and I always promise repeat business if they do the job well and within budget.