Pay off debt, build your credit, and increase your savings rate. 2.

I'm buying the house for cash flow purposes and don't want to sell for awhile.House has good school district and good area overall.

Biggest downside is rate will be higher at 80% vs 75%. 

The interest rate has jumped recently.

Thanks Bill, I actually got a better rate on insurance , and rents will go up slightly.

What else should I take into consideration other than rate?

We chose HELOC instead of refi because we didn't want the rates to change (we got the first property during those golden days of 3% interest).I just recommend making sure the HELOC payment makes sense from a numbers perspective—consider the interest as another "expense" when you're calculating cash flow.

My partner and I have an opportunity to buy a home that’s going to be leased to a non-profit, and we anticipate we’ll have the opportunity to do so with many other properties with them.Because of the rental rate we’re able to charge the nonprofit, our cash flow would support a note to our down payment lender at up to 11%, but we’d need a term of 5 years or so on that.

Get the NOI or cap rate.

Does this mean partnering on the deal or just her lending money at points and rates?