SFH First Time Rental Refinance

[Stanley Miller]

Looking for any and all advise.

Here's my situation:

I own 3 rental properties in TN.  All single family homes and each one has a remaining loan balance:

LOAN BALANCE

Rental 1: $ 44,000 (30 yr fixed: 5.25 %)

Rental 2: $ 57,000 (30 yr fixed: 4.75 %)

Rental 3: $ 63,500 (30 yr fixed: 5.25 %)

POTENTIAL APPRAISED VALUE

Rental 1: $ 108,000

Rental 2: $ 130,500

Rental 3: $ 158,000

I got the appraised value by taking the average of Realtor, Zillow, Redfin, Trulia and Realtytrac. I know not the absolute best way to get an appraised value, but I as hoping it was close enough to give me numbers to work with.

What I would like to do is refinance Rental 3 and use the extra money (approx. $55,000 leftover using a 75% LTV ratio) to pay off Rental 1 and whatever is left towards Rental 2. I would like to take advantage of the low interest rate environment and hopefully pay off one property without increasing my monthly payment too much as well as paying a ton in closing costs.

The issues and questions that I'm running into are:

1. Will I be able to get approved for this refinance at a lower rate

2. Does it make financial sense with the closing costs involved