Is a cash out refinance my only option to tap into equity on a non owner occ 4 plex?

[Maurice Smith]

Hey Bp Family,

It has been a while since I posted on here. Im in need of some advice. 

Im looking to roll some equity into a another multi family investment property, and also pay off some personal debts. 

Let me give you some details on my current situation: 

My Current Situation: I purchased this 4 plex in 2019 for 369k. According to the appraisal, it is worth around 725k. I owe 280k on my exsisting loan.

My current rate is 3.625% and my current mortgage is $1734. The property brings in around $5100/ month. This is one of my top preforming assests at the moment. My lender is telling me i can do a cash out refi and will allow me to go up to 75% ltv. I will be able to walk away with a little over 215k.

The Downside: 0ver 200k cash in my poket in a few years sounds good, Im happy that im in a situation to be able to do this. The issue im having is that my new rate will be in the high 8% range ( I have over a 740 credit score) My New payment will be around $4600 and my New loan amount will be around 500k. Yes the rents will still cover the new payment, but barley. One bad month is all it will take , and i will have to come out of pocket to cover the difference, which has me a bit concerned. 

Do I have any other options besides doing a cash out refi to pull money out? I was advised that a 2nd mortgage would not be a option becasue its non owner occupied property. I Really dont want to touch my current loan, but im not sure what other options I have? After the fed meeting , it dosent seem like rates are going to go back down any time soon, i read something about only dropping 100 bps over the next 2 years. I also know that alot of commercial investors have bridge loans and baloons that are coming due which will force people to have to dump thier properties or get foreclosed on. Which will probaly result in a slight  downturn in the market and more strict lending guidlines. If i was to wait to pull cash out my rate could potentially be higher then what im currently being quoted and worst case  my current property value might not be as high as it is today. Resulting in me not being able to take out as much cash. 

Any advice or recommendations would be greatly apperciated.