Cash our refinance on first investment property (STR)

[Jackie Walsh]

Due to the market competitiveness we put a cash offer on a possible short term rental in a desirable vacation spot (Barlett NH) that my family would use part of the year. We have enough cash to cover the cost and the seller wants to close in 21 days. We would like to keep 20-25% in the property and cash out the rest to keep it for possible reinvestment. Is it possible to do a cash out refinance after and still take the mortgage interest deduction for the personal usage part of the property? Interested in thoughts on this approach. Thank you!