Refinance Calculator

Calculate refinancing benefits and break-even analysis

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About the Refinance Calculator

This Refinance Calculator shows whether replacing your current mortgage with a new loan saves money. Enter your loan details and it returns the new monthly payment, the monthly savings, and the break-even point in months.

The tool uses the standard amortization formula P x r x (1+r)^n / ((1+r)^n - 1) to compute the new payment, then subtracts your current payment to find monthly savings. It divides closing costs by that savings to get the break-even period. Inputs include the current loan balance, interest rates, remaining terms, and estimated closing costs. A practical tip: request an official Loan Estimate so your closing cost figure reflects real lender fees. For decisions with large financial impact, consider consulting a mortgage professional.

  • Enter your current loan balance, rate, and remaining term.
  • Add the new rate, new term, and closing costs.
  • Review the monthly savings and break-even months in the results.