Refinance Calculator

This calculator puts your current mortgage and a potential new loan side by side so you can see exactly what refinancing would cost — and save — over time.

1. Enter your current loan details — remaining balance, current monthly payment (principal and interest only), and interest rate. The calculator figures out your remaining term automatically.
2. Set the new loan terms — pick a term length and enter the rate you've been quoted. Shorter terms mean higher payments but far less interest overall.
3. Add costs — open "Points, Fees & Cash-out" to enter discount points, closing costs, and any cash-out amount. These affect the break-even timeline and lifetime savings.

Results update instantly. Watch the cumulative savings chart — the point where it crosses zero is your break-even. If you plan to stay in the home past that point, refinancing is likely a good move.

The core question is simple: will the savings from a lower rate outweigh the cost of getting the new loan? Here's how to evaluate it:

• Check the break-even — if it's 24 months and you're planning to stay for 10 years, you'll enjoy 8 years of savings. If you might sell in a year, it's not worth the closing costs.
• Compare lifetime costs — a lower monthly payment feels good, but if the new loan stretches 30 years while your current loan has 15 left, you could pay more in total interest. The "Lifetime Savings" number accounts for this.
• Watch the term length — refinancing resets your clock. If you're 10 years into a 30-year mortgage and refinance into a new 30-year loan, you'll make payments for 40 years total. Consider a shorter term to truly save.

• Lower your rate — the most popular reason. Even a 0.5% drop on a $300,000 loan saves roughly $90/month and $32,000 over 30 years.
• Switch from adjustable to fixed — if your ARM is about to reset higher, locking in a fixed rate gives you payment certainty.
• Drop PMI — if your home has appreciated enough that you now have 20%+ equity, refinancing can eliminate private mortgage insurance.
• Shorten your term — moving from 30 to 15 years raises your payment but dramatically cuts total interest, often saving six figures.
• Cash-out for major expenses — tap your equity for home improvements, debt consolidation, or education. Enter a cash-out amount above to see the impact.