Refinance break-even calculator
How much a refinance would change your monthly payment, how long the closing costs take to pay back, and whether you come out ahead over the life of the loan. Enter the time left and the new term in years or months.
Principal and interest only. Figures are estimates; the sample rates are illustrative and are not a quote, an offer of credit or a commitment to lend. For a figure on a loan you are actually considering, ask Ken for a written estimate.
What the numbers mean
Break-even
Closing costs divided by the monthly saving. If you sell or refinance again before that point, the refinance cost you money.
The term trap
Stretching 25 years left back out to 30 lowers the payment partly by adding five more years of payments. The side-by-side totals show whether you really save.
What this leaves out
Taxes, insurance and any mortgage insurance are the same either way and are left out. Cash-out, removing a co-borrower or leaving an adjustable rate are reasons to refinance this does not measure.
Want to see every payment? Open the mortgage calculator with a full amortization schedule. Looking at options? See the loan programs I arrange.
Written by Kenneth M. Adler
Every page on this site is written and maintained by me: the same person who answers the phone, runs your numbers, and handles your file start to finish. No call center, no hand-offs, no lead-selling. More about how I work →
Want these numbers on your own home, in writing?
A calculator shows the math. A written estimate uses today’s pricing, your exact value and costs, and every program that fits.
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