You mentioned working with a mortgage broker, have they not given you any options outside of the HELOC? 

I would start networking with a loan originator that can show you both options perhaps.Who will rehab the home? 

I'm of course bias because I invest here and I'm an agent here, but there are plenty of options for great properties in the $650K range in Reno.

https://www.biggerpockets.com/blog/what-documents-do-you-nee...BRRRR Loans: What Are the Options, and How Do DSCR Loans Stack Up?

Option 1: buy a duplex or small multi-family and house hack.

In addition, you have the option for material.

What are the options here?

It's not really optional, you essentially have to claim it, and this is another item where you have to be sure to correctly enter the past depreciation amounts from the previous tax return.  

Hey Max, you should have plenty of options to use the funds from your home, the All in One loan may actually have the most benefits and flexibility for you. 

I wanted to create options for my family.