Mortgage Refinance Calculator

Compare your current mortgage to a refinance option — enter remaining and new loan terms in years and months, then see monthly savings, break-even period, and total lifetime interest impact.

Current Mortgage

Current Loan Balance

Current Interest Rate

Example rate — update to match your mortgage quote

Current Remaining Term

Years

Months

Quick select:

New Loan

New Interest Rate

Example rate — update to match your mortgage quote

New Loan Term

Years

Months

Quick select:

Estimated Closing Costs

Typical range: 2%–5% of loan amount

Payment Comparison

CurrentNew Loan

Monthly P&I$1,766.95

Monthly P&I$1,539.29

Total Interest$280,084.40

Total Interest$304,145.48

Refinance Outcome

Monthly Savings$227.65

Lifetime Interest Savings−$24,061.08

Closing Costs$5,000.00

Break-Even Period1 yr 10 moMonths until savings exceed closing costs

Total interest increases. Although the monthly payment decreases, extending the term in this comparison shows additional total interest of $24,061.08 over the life of the new loan compared with staying with the current mortgage. Consider your long-term financial goals before refinancing.

Estimates only. Actual refinance costs, rates, and terms depend on your lender, credit profile, and market conditions at the time of refinancing.

When Does Refinancing Make Sense?

Refinancing replaces your existing mortgage with a new one. Common reasons to refinance include securing a lower interest rate, reducing the monthly payment, shortening the loan term, or switching from an adjustable-rate to a fixed-rate mortgage.

However, refinancing is not automatically beneficial just because the monthly payment decreases. Extending a mortgage term — even at a lower rate — can increase total lifetime interest significantly.

The break-even period helps you decide: if you plan to stay in the home longer than the break-even point, and total interest does not increase significantly, refinancing may be worthwhile. This calculator shows both monthly and lifetime cost impacts so you can make an informed comparison.

Frequently Asked Questions

: The break-even period is the number of months until the cumulative monthly savings from your new lower payment equal the upfront closing costs. If you plan to stay in the home longer than the break-even period, refinancing may make financial sense (assuming no significant increase in total interest).
: If you shorten your loan term without significantly increasing your payment, you can save on total interest even at the same rate. A shorter term means less time for interest to accrue.
: No. Extending your loan term to reduce monthly payments can significantly increase total interest paid, even with a lower rate. This calculator explicitly shows when total interest increases, so you can evaluate the full impact of refinancing.
: Refinance closing costs typically range from 2% to 5% of the loan amount. Common costs include origination fees, appraisal, title insurance, and prepaid interest. Some lenders offer "no-closing-cost" refinances that roll fees into the rate.