Good time to take out a HELOC ?

[Matthew Platon]

Hello everyone ! 

I been thinking about taking out a HELOC on my current primary residence (Two family) . Is it a good idea ? Or should I look into other creative financing options? My two ideas are one to search/purchase another multi family unit and house hack. Or two make improvements to my current property. Such as upgrading the HVAC system in both units and other items that are value add and could increase rental income. I'm located in central NJ . Let me know your thoughts or idea's ! Thank you !

[Jake Handler]

Remember that when you take out a HELOC, and draw from it, it counts as "debt" to your DTI ratio. Might sound obvious but people often tend to forget this. So ask yourself (or a lender), can you take out a HELOC and still qualify for the next owner occupied purchase.