When Is A Good Time To Refi?

[Daren H.]

In reality I know the right time to refinance is dependent on the person and situation. So I hear a lot about "refi till you die", "equity is only good if you use it", etc. Several of my rental properties are at ~50% LTV and in good shape. I bought these at a reasonable discount, fixed them up and have held these particular properties for the past 3-4 years. For example, one of the properties I would say the estimated value is ~$135K-$140K. The loan is $67K, 30 year fixed at 5%. The rent is $1300. Two others are in a similar position in regards to LTV, interest rate, RTV , etc.

I have not found a bank that will do a line of credit on these properties but they are all willing to refi of course. Refi’s cost money especially when you are talking about ~$3.5K -$4K in fees to tap ~$25K-$30K of equity for each property. For those who believe in the refi till you die, or leverage as much as you can strategy, what is your general rule for refinancing your SFRs?