Why borrow cash if you do not need to?

When you want to use that $ to buy real estate you borrow against your policy (usually 2-3%) then you use that $ as a down payment for your next purchase, So you are actually sorta buying down the interest rates bc your money in the policy is earning more than the fee to borrow it.

Borrow the 80% of $140k  or whatever you planning on, take another $100k heloc or 2nd or whatever on your primary.

Probably not the best idea to borrow at 7-8% while losing money in certain years. 

It sounds as if you are borrowing from your line of credit for the down payment and using a mortgage to finance the property.

I didn't even bother with 3 others that I regularly send loans to because, after speaking to the borrower, the loan wouldn't get through their underwriting. 

One main effect is borrowed money actually LIMITS your exit options, not increase them.

Using the HELOC is just another way of borrowing 100% of the purchase price.

First, you'll be borrowing money to borrow money, which means you are over-leveraged.

Depending on your area, it can take months and if you are borrowing money, you are paying for the time you can't get in and even see what you bought.