Should I cash-out refinance my current home or use some cash ?

[Tom Smith]

I want to buy a new home and rent the current home. Should I cash-out refinance to get the 20% down on the new home or should I use cash for 10% down?    Which one would be more beneficial. My current home is valued at $220k my balance is $100k with 13 years left on the mortgage. I am planning on buying the new home where about $25k of repairs/updates are needed and plan on living in the new home for at least 1 to 2 years. After that period the idea is to buy a nicer/better home and move there possibly on a permanent basis so if I don't cash-out refinance now, I can do that later and use that money as a down-payment for the third home. But if I cash-out refinance now, I would also have to cash-out refinance the second property later for a down payment on the third.   

I am not sure which route is a better choice?

thanks for any input

Tom