Utilizing home equity
Hello BP friends -
Although I've been on BiggerPockets for some time, browsing forums and gaining insight, this is my first forum post. It was the lessons learned here that led me to go for it and purchase my first investment property.
I currently own a duplex (house hacking) and have rehabbed it to the point where I can make substantial cash flow upon moving out. So this means that I'm eyeing up other duplexes, triplexes, and live-in flips for my next property. The trouble is that I bought the duplex late last year and don't have a ton of cash for another down payment. I could have enough, however, if I combined it with my home equity. I have just above 20% equity in the property so I've been wondering how I can best utilize this equity to make another down payment on another property. My questions are...
1) Are there lenders out there that would allow me to refinance, take a HELOC, or home equity loan against this much equity (~80%LTV)?
2) If I were to fall below 20% equity in the home, would I then need to pay PMI until I reach 20% equity again?
My property is in Lancaster City, Pennsylvania.
Thank you in advance for any insight!
Aaron