Looking for the best approach.....

[Giresh Sharma]

I currently have four single family properties that I am refinancing into my LLC to have them all under the same umbrella. I have acquired some pretty nice equity since I acquired these between 2010-2014. A couple lenders have offered to refinance into my company at a 75% LTV which will entitle me to a couple hundred grand of liquidity. They currently are all under 45% LTV and cash flow amazingly based on acquisition price. Im currently stuck in a debate in my mind of what to do. Would you refinance just rate/term and just continue to pay these down with the positive cash flow or would you take the bigger loan and have the liquidity available? Ive never been a fan of debt loads which is causing this hesitation. I know there are many different beliefs and approaches to this scenario and would love to hear any and all feedback.

[Joseph Firmin]

Agree with @Colton Fairchild. Not sure where you are on your investing journey and your risk tolerance, but if you don't mind the "debt load," you could use the liquidity to purchase something that brings in a lot more cash flow. Interest rates are so low that it makes it even more achievabale and your DCSR has a better chance to be >1.25 depending on the deal.