Cash-Out Refi & HELOC on the Same Property (does order matter?)

[Harman N.]

Hi all,

When taking out a cash-out refi and HELOC on the same property, does the order in which you take them out matter? I'd like to get a cash-out refi on my primary residence given mortgage rates continue to be low, and a 90 LTV HELOC on the same property to be able to use as-needed for investments. I assume since the HELOC is in 2nd lien position it would be better to get the cash-out refi first since that would affect the LTV calculations for the HELOC. Otherwise it might cause some headaches with the HELOC lender..