30 yr or 10 yr fixed?

[Andrew Magoun]

I own a property property outright and am looking to do a cash out refi of it. The property is in an LLC but is a single family. In talking with different local lenders I have two options:

Option 1: 30 yr fixed rate at 5.25% with a bank I don’t have a current relationship with.
Option 2: 10 yr fixed rate at 3.35% (20 yr amortization) with a bank I have a relationship with.

Property is worth about $425,000, looking to take out ~$300,000 to reinvest in additional properties. No prepayment penalty on either option unless I refinance with a third party.

Which is the better deal and why?

Thanks for the help!