Using heloc from primary residence to pay of first investment property

[Account Closed]

Hi, I'm not able to find this question asked and answered on here so here goes, point me in the right direction if i'm wrong.

We have an investment property in Florida on a 15 year note, 14 left. The rate is @ 6%. I can get a heloc on my primary @ 3.25% so i'm thinking that i could save $95 a month in interest by paying off the existing with this heloc.

Second property notes:, we owe 61k , renting @ $850 a month, PM/Insurance/Taxes equal $295. It's worth 115k, purchased for 85k.

That being said, my goal is to ramp up on investment properties over the next few years, buy/hold/rent.

The way i see it is if i do this:

1) I'd save money
2) Reduce my mortgage count back down to one residence.
3) Be able, not sure how yet, leverage the equity in our second to accumulate more properties.

Am i sane?

Thanks everyone.

[Michael Lauther]

My initial reaction is to not put your primary residence at risk
Also how long is the Heloc rate locked in for?
If you pay off your investment property and then look for leverage on you second property you will just be paying unecessary financing costs. If you find a deal you just cant pass up then use the Heloc to leverage that but once again you are putting your personal residence at risk.