Hello,
I'm hoping that someone can help me with this. I'm trying to figure out if it makes sense to convert my existing HELOC (6.8% variable rate) into a HE (fixed rate installment loan) or Get one of those HELOC's with the fixed rate option. I need to figure out if it makes sense for me financially. My current HELOC has a balance of $29k with an unused amount on it too. Now I want to have access to the unused amount to invest later, but I don't know how soon or how long that will be. I anticipate making an investment in rental property before the end of the year is up. However, the problem is, if I convert to a HE (straight fixed loan) I'll have to pay of the 29K plus the amount that is unused. But the benefit is that it would be fixed at 6.5%. If I do the HELOC with the fixed rate option, I pay a fixed rate of 7.24% on the 29K but nothing on the unused amount until I use it. The drawback is that once I use it, I'm sure that the interest rate will be much higher than the 6.5%. Can anyone help me make sense of this so that I make the best decision possible. I hope this is not too confusing,I appreciate the help.

Thank you
Tamara Moore