Mortgage Refinance Calculator
Use our calculator to explore the potential financial advantages of refinancing your mortgage and see how much you could save.
Mortgage Refinance Calculator
Calculate whether refinancing your mortgage makes financial sense. This calculator helps you determine your potential savings and break-even point when refinancing your mortgage.
How to Use
- Enter your current loan balance
- Input your current interest rate
- Enter the new interest rate you've been offered
- Specify the remaining years on your loan
- Include estimated closing costs
- Click calculate to see your potential savings
Understanding the Results
- Monthly Savings: The difference between your current and new monthly payments
- Break-Even Point: How many months it will take to recover the closing costs
- Total Interest Savings: The total amount you'll save over the life of the loan
When to Refinance
Consider refinancing when:
- Interest rates are significantly lower than your current rate
- You can recover closing costs within a reasonable timeframe
- You plan to stay in your home beyond the break-even point
FAQ
What are closing costs?
Closing costs typically include fees for application, appraisal, title search, and other services required to complete the refinance.
How much should interest rates drop to consider refinancing?
A common rule of thumb is to consider refinancing if you can reduce your interest rate by at least 0.75 to 1 percentage point.