Can I get a home mortgage for land investment?

[Sandi C.]

We have a paid off home and would like to buy a piece of property. What kind of loan can I get with the best rates/options, etc. I thought that I could just finance my house, pay cash for the property and then have the low interest rates/tax advantages of a Mortgage but my Credit Union told me that since I wanted cash out of my house, that would be a HELOC, which is a higher interest rate than a mortgage.

Thanks in advance for any advice.

Sandi