$60k in equity in my rental...what to do next?

[Tyson Thomas]

Hey Everyone,

This is my second post on BP and I'm hoping to gain some insight.

My wife and I have successfully completed 2 live in flips and are sitting in a great position equity wise. We have a HELOC for $60k on the 2nd flip house that we are living in. We sold the first and gained $30k and rolled that into the second and then made another $30k. We should have held most of the cash, I know, but we were not thinking long term business at the time. It was just a hobby.

Anyways, we put an offer in on an acreage property that we want to raise our family on and will eventually remodel/rebuild the house on that property when the time is right. The problem is, our HELOC will obviously be gone when the deal goes through and this house is converted into an investment property.

With this house and our new property under contract, we will be close to our max DTI. We were under contract for an investment property using the HELOC that I ended up wholesaling to a family member this past week. We had plans to use the HELOC as a base to build our portfolio further with flips and rentals.

Now we will have our dream property and a great rental cash flowing $550/month that we intend to save and reinvest later.  

I say all that to say, what options do we have to tap into the equity in the rental?  I know we could look at a refinance for a large portion of it, but then we lose the cash flow.  That and we recently had a refi on it to clear up the cost of reno.  We didn't plan to move when we did that.  So, is my only option to look commercial and leverage the equity?

Hoping someone out there has some ideas.  I'm good with waiting a while to do something, but wanting to plan next steps and be strategic.  Thanks for reading this long post and for your input.