Arthur Voskanyan  A cash out refi is generally a first lien 30 year fixed rate VS a HELOC is 10 years interest only second lien with a variable rateRates depend on the loan amount, your credit, if you occupy the property, the loan balance, ect @Chris Mason should be able to provide you specifics

Below is the break down...I am not using exact numbers here just ballparking.Purchase Price: $600,000Owner is willing to finance half with half downHere is my question:Can I get a credit back at closing with a commercial loan?

We used a private lender to buy the other house  because we have bad credit.

In addition to ensuring there are no legal issues clouding your ownership, that will also give you six additional months to clean up your credit score and also to establish some work history.

I paid cash and am going to refi cash out with a local credit union once it is fixed up and leased out, then buy another house with the $$$.

I am three months in to looking at properties, finding one, negotiating the deal, getting under contract, clearing inspection items and seller credit, getting the lender appraisal, etc etc.

I have thought about pulling a HELOC on my moms house for roughly about 40k and using that to purchase a deal via a hard money loan to rehab, rent it out & cash-out refinance. 700+ credit score.

Insurance also won't protect you from being sued in your own name, making your personal transactions subject to civil discovery, damaging your credit score in the event of a judgement, etc., etc. 

I began looking into real estate a few months ago though the internet.

There's info and Q/A's available on it through an internet search.