When is doing a cash out refinance not the best route to take?

[Marcus Daniels]

Hello all,

I am in the process of doing a cash out refinance.  In this process, I would be losing $200 of cashflow to pull out roughly $35K.  The property would still be cashflow positive with the lose of the $200. A year from now when the tenant moves out I could get that $200 back in rent when I renovate the other side based on the rent of the other side of the duplex.  The renovation would cost roughly 5K from $35k pull out.  Property currently cash flows $479 a month this would take it down to $279 temporarily.  I am in the growth process of my portfolio and do not need the cash flow for living at least another 6 years.  The cost of the refinance is roughly $9,000.  I would use the remaining $30k to add to other funds saved up and invest in another property.  I feel like this is decent just want to bounce some ideas.  If I don't go through with this refinance the current property could cash flow $679 in about a year with current rent rates.  Thanks!