Cash out refinance for down payment

[Thomas Ingrao]

I'm currently considering a refinance on a single family rental property that I've owned for a year and a half. I have approx. $10,000 equity and could really use that money as a down payment for another property. Rates are significantly lower now, I would be able to increase my cash flow my lowering the mortgage payment. The issue that I see is how would the next lender view this refinance on my credit report when I apply for the new property? Is there a chance that it will discourage the bank from financing the next property?