Refinance Ideas & Advice

[Adam Ramsey]

I currently own a duplex in Madison, WI. I live in one side and rent the other. 

I bought the duplex about 1 1/2 years ago for $195,000. I used a FHA Loan with about 5% down with PMI of $120/month. I currently owe approximately $180K on it.

Luckily the market has gone up quite a bit since I bought the property and I did some updates. I would guess my home would appraise at $220K at the absolute lowest but probably about $230K maybe 240K. 

Of course I would like to get rid of my PMI. However, I would also like to start looking for new properties and using some equity towards the downpayment. Depending on the situation I may stay in my current spot or move to the new property if it's a multi family. I probably will wait about a year so I can save up more cash and build more equity.

Pros/cons to refinance now and then use a home equity loan or HELOC for additional capital or doing a cash out refinance when I'm ready to buy again?