Cash out refinance or not?

[Jack B.]

I'm waiting for a dip also to 1031 some of my properties again. The only question right now is whether I should cash out REFI any of them. I'd get a lower rate and sit on even more cash waiting for buying opportunities that are not time and rule contingent like 1031 exchanges are. Only downside is tax benefits go down (can't deduct part of the interest) and cash flow goes down (given that cash flow goes down the partial interest deduction should not be a big deal so I might end up showing no income on the returns where as right now they are showing a profit). Thoughts?

The idea behind the cash out refinance is not to use current cash on hand, to use that to diversify into other assets, only use existing dead equity in my houses that are sitting at 50% equity positions, some much much more.