trying to get started by moving into another home

[Steven Carter]

I have a small house in Las Vegas and I have always thought about turning it into a rental property and I love the idea of buy and hold. I am looking for another home for me and my family and am contemplating taking some equity out of the house to make a 20% down payment and avoid the pmi on the next house.  Just wanting to talk this out and see if a home equity loan is a good option since they are fixed rates although I am only seeing them for 15 years. or if i should do a heloc?

current home info

I bought in 2010 Its worth $225k and I owe $80k 

it would rent for about $1200. my monthly net income would be $370 

thanks in advance

[Michael Coxen]

I would run the scenarios by a mortgage broker. @Walter Purdy - what do you think?