How Much Equity to Pull to Reuse?

[Brandi Smith]

Hi,

My first rental will be paid off in next 4 months. It has about $200k equity built in. (bought in 2016 for $107k, valued for probably $220k).It is rented out for $1550. 

 I do NOT have funds saved for next property so I plan on using the equity from this house to purchase next one. So lets say duplex I'm looking at is $348k. For down payment I'm assuming I'd need about $70k. My thought was to pull maybe $100k from first property to use for down payment, any necessary updates, and possibly extra down payment. Is it better to pull extra equity from first property to use for second or just what is needed? This would be two loans right? I'd like to keep that loan payments to around $1000 -ish to still bring in good cash flow. Then use both property extra cashflow to pay down the smaller loan. 

[David Brown]

Following along because I am in the same situation. Caveat is I have a low interest and want to retain that and do a HELOC. I’m located in FL and banks and credit unions are saying they will not do a HELOC on a rental property. Also the property is in a land trust for estate planning purposes.