HELOC Decision Help Needed

[Sam Boateng]

Hi good people. I am trying to take a HELOC on my primary home for a down payment for my very first rental property. After contacting about 4 lenders, I am finally trying to choose between these two offers:

Option #1: 200K at 10.5 % variable rate, 20-year draw period

Option#2: 138k at 7.6% variable rate, 10-year draw period.

Which of these would be beneficial for a newbie investor like me. Any advice would be much appreciated.

Thanks!