Cash-out Refinancing on a Rental

[Tre'nez Deriggs]

I recently bought a rental property in July of this year with 20% down. I've been collecting good cashflow on the property (approx. $450/month). My plan is to cash-out refinancing the property later on next year after allowing my tenant to pay down more of the principal, and use whatever equity I pull out as a down payment for another property. This is a strategy I did initially with my primary home which allowed me to acquire this rental, any suggestions/thoughts/tips about this method would be helpful