Single-Family Cash Out Refi for Multi-Family Purchase Deal

[Robert McCoy]

First time posting, love all the information on the site and podcast! I'm looking to purchase my first multi-family property and I would love some input as to whether the deal seams manageable overall. I have several single-family rentals that are paid off and the sitting equity isn't doing me any good other than increased monthly cash flow. The Purchase: The property I'm looking at would be acquired for $252,500 with seller paying $7,500 towards closing costs. So $245,000 net to seller. The property has 2 duplexes (1/1 building) and (2/1 building) built in the early 2000's on one parcel, block on slab construction. Current total rents are around $2,400 per month but could be pushed to $3,000 per month over the next year or so. The current tenants have lived in the property for 10+ years so I don't want to come in and immediately raise rents. The lender is requiring 25% which I don't have but I do have plenty of equity in the previously mentioned rentals. A conventional 30-year no doc loan is estimated at 7.5% interest (which seems high but it's a no or low doc loan). My monthly PITI is estimated at $2,000 for the new multi-family and $850 per month on the cash-out refi. Total closing costs are going to run me about $20,000 to do the deal (these can also be rolled into the cash out refi loan). The cash out refi property previously cash flows about $700 per month which will be reduced to about $125 per month. I think I'm getting turned around due to the cost of the cash-out refi and decreased cash flow. I know there is a lot of information above but I would love to hear any input or advice anyone has. I guess the main reason I'm looking to purchase was because my equity is just sitting and not really working for me on my single-family home. Thanks everyone in advance!