Refinance Calculator

Calculate your potential savings from refinancing a mortgage or loan.

Current Loan

$
%
$

New Loan

%
30 years
10yr15yr20yr25yr30yr
$

New Monthly Payment

$1,770

Monthly Savings

+$189

Break-Even Point2 yr 3 mo
Closing Costs$5,000
Total Interest (Current)$307,700
Total Interest (New)$357,125
Lifetime Savings-$54,425
Break-even is when cumulative monthly savings exceed your closing costs. Refinancing makes sense if you plan to stay in the home longer than the break-even period.

How to Use the Refinance Calculator

  1. Enter your current loan details - remaining balance, interest rate, monthly payment, and years left.
  2. Enter the new loan details - the new interest rate and term. Check current rates with your lender or broker.
  3. Add closing costs - refinancing typically costs 2-5% of the loan balance. Shop lenders to compare.
  4. Check the break-even point - the number of months before monthly savings offset closing costs. If you plan to move before break-even, refinancing may not save money.

Frequently Asked Questions

Refinancing makes financial sense when you can reduce your rate by at least 0.5-1%, you plan to stay past the break-even point (closing costs ÷ monthly savings), or you want to change your loan term. Example: $300,000 balance, refinancing from 7.5% to 6.75% saves $147/month. With $6,000 in closing costs, break-even is 41 months (3.4 years). If you plan to stay longer, refinance. If you are selling in 2 years, don't.

Related Calculators