Buying investment/vacation property with HELOC and an IRA

[Rick Molenda]

I'm new to this forum, and hopefully am posting in the right place. My wife and I have been married almost 8 years - I will be 56 this year and she will turn 60. We have found a riverfront property with a small cabin an hour away in an area we have spent a lot of time at. My wife came out of her previous marriage with a small IRA of roughly $60K and can start drawing from it penalty free in June. Our home is worth at least $150K more then we owe on it and is valued around $400K-$430K. My question revolves around putting out as little cash reserves as possible - a $40K-$50K down payment takes the loan to value down around 70-75%, so would I want to get a HELOC and make down payment out of that, then pay the first 6-8 years of mortgage on this 2nd property out of her IRA? Or perhaps the other way around? I have other retirement vessels, so that's not an issue. We both stand to receive fairly hefty inheritances as she is the financial POA for her 91 year old father, and co-executor of the estate with her only sibling. I, too am a financial POA for my 80 year father, and co-executor of his estate, and am co-executor of my mother's estate (she dad have been divorced 25+ years). So we're just looking at covering the first 6-10 years with as little outlay from my income as possible. Thanks in advance.