At what interest rate would a refinance no longer make sense?

[Andrey Y.]

I have investment properties with fixed rates of 3.375%, 4.5%, and 4.375%. There has been several six figures $$ in equity growth over the last several years, and my LTVs have recently been pushing 50%. I am looking to refi one or more of these back up to at or near 80% LTV, to pull out all that equity just sitting there.

I know interest rates are up, but at what point (0.5%, 0.75%) etc. higher rate would you say that it wouldn't be worth doing this? I appreciate your feedback.

[Alex Deacon]

@Andrey Y. the interest rate is completely irrelevant. If its 4% or 18% it doesnt matter. what matters is what are you doing with that money. Are you going on a $20,000 vacation or buying a new car or are you reinvesting the money and getting a return on that investment? I borrow money at 15% sometimes and I make a lot of money in return.

To summarize. Buy assets. Buy good investments. Borrow money at the lowest rate possible but dont let the interest rate cloud your judgement.