Refinancing a rental

[Matt Roberson]

Is it worth it to refinance a rental property to get a lower interest rate (3% down from 3.5%) and lower the years of payment (20 down from 25) despite the having to pay closing cost and possibly decreasing cashflow due to a higher monthly payment? This would pay off the loan faster and increase equity in the home at a faster rate. 

[Jaysen Medhurst]

For 50 bps? Probably not, @Matt Roberson. I wouldn't move to a shorter term, especially now. You can always pay the current loan down like a 20-year (or a 15, or a 10, whatever). Then if things get tight, you have the flexibility to reduce your payments.