Does this refinance make sense?

[Jay E.]

I'm looking to refinance a primary home I purchased a few years ago but is now a rental. My current rate is 3.88%, I owe about $240k on it, with a property value of around $400k. I can do a cash out refinance to 2.88% for 30 years and pull out $35 to $40k after closing costs and points. This would also reduce my mortgage monthly payment by about $175 give or take. 

With closing costs costing around $18k (but being financed into the new loan), would this be worth it? I'd be reducing my monthly payment, and getting back about 40k, so is this a no brainer, or am I overthinking it? 

I would break even after about 8 or 9 years.We never know the future, but my plan is to keep the property much longer than that. Paying about 4 points or more is what drastically increases the closing costs, and I'm looking to pull out the cash to have available for purchasing another property in 2021.