Refinance Calculator
Determine if refinancing your loan makes financial sense.
Decision Matrix
If you plan to stay in the home longer than the break-even period, refinancing usually makes financial sense.
Ready to Refinance?
Enter your current and new loan details to visualize your break-even point and lifetime savings.
Should You Refinance Your Loan?
Refinancing involves replacing your current loan with a new one, typically to take advantage of lower interest rates or better terms.
Should You Refinance Your Loan?
Refinancing involves replacing your current loan with a new one, typically to take advantage of lower interest rates or better terms.
Optimization Strategy
Refinancing is a powerful tool to lower your interest rate, but it's only beneficial if the savings outweigh the closing costs before you move or refinance again.
Break-Even Analysis
Break-Even (Months) = Refinance Fees / Monthly SavingsThis formula helps you determine how many months it will take for your monthly payment savings to repay the upfront costs of the new loan.
Refinance Scenarios
Lower Interest Rate
Refinancing a $250,000 loan from 6.5% to 4.5% with $3,000 fees pays for itself in just 10 months.
High Closing Costs
A $5,000 fee for a $150 savings takes nearly 3 years to break even. Refinance only if staying long-term.