A good time to refinance?

[Arron Robertson]

Hello everyone,

My wife and I are looking to buy our first rental property in the next 6 months. We are looking to house hack by getting an FHA loan on a duplex. Right now we are living in a condo that we owe $77k on a $93k 15 year mortgage (about 3 years in) at a 4.125% interest rate no PMI (we got a portfolio loan that we put 3% down on). We have about $10k in the bank to put towards our first property.

We are looking to rent the condo longterm, but with the mortgage payment being close to $700, there's not a lot of room for cash flow. Right now similar condos (with less upgrades than we have) are selling for $120k.

My plan is to refinance while we're still living here to lock in a lower interest rate. While also pulling out a little cash from the refinance. 

Does right now make sense to pull the trigger? Or are there other factors I need to consider? I'm new to the Realestate/Refi world, so I just want to make sure I'm thinking about this clearly.

Any feedback or advice would be appreciated.