Should I refinance?? Need help

[Rachel Bier]

Hi,

We have a SFR in Santa Rosa CA and would appreciate advise on whether to refinance. We would take out max of $100K, here's the numbers...

- goal: buy another SFR in Santa Rosa CA

- Property value: Zillow estimate $575,000 (our realtor said this is a good ballpark)

- Bought in 2008 for $345,000, remaining loan $265,000

- Rent $2400 (still about $300 under market value, but has just been raised, plan to increase yearly)

- Monthly payment $1900 (inc. taxes & insurance)

Pros:

- refinance whilst property values are high and interest rates are low

Cons:

- Deals are scarce, market is hot, we could be holding the cash in a bank account for a while until the right deal comes along

We've already been investing out of state so that's not an option, we want to diversify and stay in CA. The Santa Rosa market is really familiar to us and we have a good team set up locally. The alternative would be to pull the money out of the stock market when we find the right deal, however, we'd prefer to keep this money invested and put our equity to work. We have the nice problem of having money, but no deals. 

Am I missing something?...Any advise, direction or input would be greatly appreciated, thank you in advance BP community, you rock!

Rachel