Compare the remaining cost of a current mortgage with a proposed refinance. Include the new rate and term, points, closing costs, and cash-out amount to estimate payment savings, lifetime interest, and the time needed to recover refinancing costs.
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| Refinance | |||
|---|---|---|---|
| Savings for the new loan | $278.00/month | ||
| lifetime savings for the new loan | $83,400.00 | ||
| upfront cost | $6,583.26 | ||
| CURRENT LOAN | NEW LOAN | DIFFERENCE | |
| Principal/Loan Amount | $279,163.18 | $273,579.92 | $-5,583.26 |
| Length | 300 months | 300 months | 0 months |
| Interest Rate | 6% | 4.5% | 1.5% |
| Monthly Pay | $1,798.65 | $1,520.65 | $-278.00 |
| Total Payments | $539,595.00 | $456,195.00 | $-83,400.00 |
| Total Interest | $260,431.82 | $182,615.08 | $-77,816.74 |
| Points Equivalent To | $5,583.26 | ||
| Cost + Points (Upfront) | $6,583.26 | ||
| Cash Out | NA | ||
| Take Home Amount After Cost/Point | NA | ||
| Time to Recover Cost/Point | 23.68 months | ||
Review the inputs, outputs, calculation method, and formulas used by this tool.
The current remaining balance is estimated, then compared with a new amortizing loan that includes cash out, points, and costs.
B = amortized balance after elapsed payments
P_new = B + Cash out + financed costs
Break-even = Upfront costs / Monthly savings
Symbols refer to the corresponding input and result labels shown above.
Enter your figures, choose any available options, and select Calculate. You can change the inputs as often as you like to compare scenarios.
Results are estimates for education and planning. Taxes, lender rules, fees, and investment returns can vary, so verify important decisions with a qualified professional.