Investment Mortgage quote/30 yr fixed3.875%/ 3 points reasonable?

[Jeff Bridges]

I'm trying to obtain a cash out refinance a SFR rental property I bought originally all cash. My mortgage broker is giving me 3.875% 30 year conventional fixed with 3 points down. 75% LTV. total loan amount 80k. total property value 110k. My credit score is 740+, which is what the quote assumes. The rate looks good but can I do better with the points being charged? That equates to $2400 in points... I just want to see if I should be shopping around for a loan with less up front points or costs... Thanks in advance for your feedback.

[Chris Mason]

@Jeff Bridges,

Real estate investors generally do a lot of refinances, which means it's improbable that you're going to sit in this 30 year fixed loan for anything near 30 years, which in turn means you are incredibly unlikely to be in this loan long enough for those points to break even.

Skip the points, take the higher rate.