Refinance Calculator
Enter your current balance, rate and remaining term alongside the new loan to see whether refinancing pays off — and when.
Estimates only. Assumes fixed rates, no cash-out, and that the new loan closes immediately. Actual savings depend on lender fees and your credit profile.
Frequently asked questions
What does the break-even point tell me?
It is how many months it takes for your monthly savings to repay the refinance closing costs. If you keep the loan longer than the break-even point, refinancing saves money; if you sell or pay it off sooner, the upfront cost may not be worth it.
Why might a lower payment still cost more overall?
Extending the term (for example from a 20-year remaining balance to a new 30-year loan) lowers the monthly payment but restarts the amortization clock, so you pay interest for longer. The calculator compares the full remaining cost of both paths, not just the payment.
Are closing costs the only thing to consider?
They are the main out-of-pocket cost and the simplest to compare. Also weigh whether you give up an existing low rate, any prepayment penalties, and how long you actually plan to keep the loan. A no-closing-cost refinance trades those fees for a slightly higher rate instead.
Should I refinance to a shorter term?
If you can afford the higher payment, a shorter term usually saves the most interest and builds equity faster. The break-even point is often quick because you are not stretching the loan back out. Compare both options in the calculator to see the trade-off.