If you can do a cash out re-fi and still have positive cash flow (even if it is only a little) you should probably do it. Set up an account that will auto pay the mortgage payment which can get you a very small break on the interest rate (usually a quarter to half a percent for having auto pay). You can also use some of the cash to put toward your next deal. Just make sure you are in black numbers for the monthly payments so you don't get in trouble with payments.
Depending on where the property is located you might be able to get a hard money loan at 70-75 percent of the after repair value. The hard money lender will escrow the extra money so your contractors can bill escrow directly and you don't have to pay out of pocket. As soon as everything is complete you can do your cash out re-fi, pay off the hard money loan (as quickly as possible because hard money is expensive) and still have money left over for debt servicing the property.
Just a thought...others might have different ideas.
