Refinance Calculator

See your true refinance savings

Compares principal & interest only. Property taxes and homeowners insurance don’t change with a refinance, so they don’t affect break-even. Mortgage insurance can: a refi on a home that has appreciated may drop PMI entirely (new LTV at or below 80%), while refinancing into an FHA loan adds upfront and annual MIP. If your PMI/MIP will change, add the monthly difference to (or subtract it from) the savings shown here.

Current loan

Balance remaining

Interest rate

Months remaining

New loan

TERM

Interest rate

Closing costs

Points

Roll into loan?

Cash-out amount

New loan principal: $340,000 · $6,500 due at closing

Monthly payment savings

$413

$2,424 → $2,011 · breaks even in 1yr 4mo

Lifetime interest (current)

$416,396

Lifetime interest (refi)

$384,042

After-tax current· saved $2,345 in tax

$414,051

After-tax refi· saved $0 in tax

$384,042

New monthly P&I

$2,011

was $2,424

Monthly savings

$413

lower payment

Break-even (nominal)

1yr 4mo

$6,500 upfront

Break-even (NPV)

1yr 8mo

at 7% discount

After-tax saved

$30,009

lifetime

NPV of refi

$37,079

after-tax, discounted

Nominal payment savings After-tax savings NPV (discounted)

Cumulative savings net of $6,500 closing costs paid upfront. A line crossing zero is when that line breaks even. NPV discounts future savings at 7%. It’s the most honest comparison if you could otherwise invest the money.