This could give you access to $50K (10% of home value) to be used when you find the next deal, but you won't have to draw on it until you need it.  

The Ten Point Coalition is very active in this community and they are claimed to be the ones who have had a major impact on the murder rate here.All of the historic districts in Indianapolis are rapidly changing as the quickly growing tech sector is drawing young professionals to Indianapolis.

Of course, it wouldn't have the big draw of the strip in Branson or the lakes.

Have a lawyer draw up an agreement on those financing terms.

I was thinking of something short and sweet to draw some interest to see if the FSBO may be open to doing an all cash deal, if not then maybe a  L/O or seller financing deal.

That could be a more modest draw/loan and much more manageable should anything crazy happen in your life.

A potential plan could be: Pay into mortgage aggressively until PMI drops, then finish paying 401k loan (so that I could take another loan against it if need be), refinance home to draw some capital out and position myself for a down payment on the multi-family, pay off the student loan as scheduled.  

A lawyer could draw that up. 

I've read I make interest payments only on what is paid out in the draws; is that true?

The loan has a fixed rate, a 5-year interest-only period, then a 10-year P&I period.The HELOC has a variable rate, a 20-year interest-only draw period, then a 20-year repayment period.