Pick up the phone, call them, ask to speak to their loans department and ask them what their appetite is for doing HELOC's on non-owner occupied small multifamily. 

These tenants have occupied both units prior to this amendment (effective 2011) and the amendment states that if the tenant wasn't notified 60 days from the amendment taking effect it does not apply. 

Do you have a current property that you intend to pull capital out of to fund the purchase of another owner occupied home?

- 25 % down needed since it will note owner occupied ?

More likely to be in the 4s or 5s for a non-owner occupied property.CapEx and Repairs are way too low.

@Dan Gamache - stabilized property (fully occupied).

Lastly, generally speaking you can always buy and live in a multi family investment with low down payment options (using FHA as long as you don't have any other FHA loans) and like they mentioned above put 20% down (SFH) and 25% (multi-fam 2-4 unit) for non-owner occupied properties. 

Looking to purchase a fully occupied duplex in Oakland with protected tenants.

Once I had my preapproval I just analyzed deals until one came my way and it had great cashflow potential, it was recently fixed up, and it was tenant occupied with a long term tenant. 

If you're looking to sell it to an owner-occupier, then yes, the tenant has to leave.