Refinance Calculator: Should You Refinance Your Mortgage?
Refinance calculator
See whether refinancing your mortgage is worth it. Compare your current loan with a new one to find your monthly savings, your break-even point, and the difference in total interest paid.
- Free to use
- No sign-up
- Shows your break-even point
Your current loan
The new loan
Side-by-side comparison
How this calculator works
Both payments use the standard amortizing-loan formula. Monthly savings is your current payment minus the new payment. The break-even point is your refinance costs divided by the monthly savings — how many months it takes for the savings to repay the cost of refinancing.
Watch the term carefully: a lower rate spread over a longer term can shrink your monthly payment while raising the total interest you pay. Check the lifetime interest difference, not just the monthly number.
Frequently asked questions
What is a break-even point in refinancing?
It’s how long it takes for your monthly savings to cover the upfront cost of refinancing. If you plan to stay in the home past the break-even point, refinancing usually pays off.
Is a lower monthly payment always better?
Not necessarily. Extending your term can lower the payment but increase total interest over the life of the loan. Look at the lifetime interest difference too.
What costs are involved in refinancing?
Typical costs include lender fees, appraisal, title, and closing costs — often 2–6% of the loan amount. Enter your estimated total in the refinance costs field.
Estimates only and not financial advice. This is not a loan offer; confirm all figures with your lender.