Refi/Increase Equity or Purchase 2nd Rental
I'd like opinions on two scenarios I am planning for. I have one rental property that I bought a year ago. Solid cash flow and going great. I calculate that I could refinance/increase equity and improve my cash flow by $430/month. This would involve using $40k cash for the increasing equity part. Option 2 is leaving that house as is and using the cash to invest in another home. I am projecting $200/mo cash flow if I bought another home currently. We self manage the current home and would the second. Seems like the answer would be take the less cash flow on an additional property because of appreciation (long term holds). But want to see if there's any perspectives I'm not seeing. Thanks