Cash out refinance mortgage
About 2 years ago I bought my 1st home and decided to go with a 10 years fixed 3.125% 205k loan. Now with the reason of wanting to pay way less monthly and to not have all my asset tied up to the house, I want to do a cash out refinance. Lucky for me that rate is still low and housing market has been up recently. I just ask Sebonic Financial today and they gave me a quote of 30 years fixed 3.875%, $2400 closing cost - $800 credit, + $52k cash out (with my estimated of house evaluation).
The reason I want to do this is to have more of my money putting in mutual funds, as this will more diversified my portfolio as I'm feeling I'm very house poor right now as I put most of my money in the house.
Is there any pros and cons with this? Should I pull the trigger and do it before rate go up again?
TL;DR: Current 10 years fixed 3.125% 205k mortgage. Want to do a 30 years fixed 3.875% fixed refinance, $1600 closing cost, $52k cash out. Will invest extra money in mutual funds. Pros and cons?