Calculator
Refinance Break-Even Calculator
Find the month a refinance pays for itself, and check whether it costs you more in total interest even while lowering the payment.
Two numbers, not one
Monthly savings tell you whether the payment improves. Break-even tells you how long you must keep the loan for the closing costs to be worth paying. If you might move or refinance again before that month, the math does not work no matter how good the rate looks.
The third number most calculators hide is lifetime interest. Restarting a 30-year clock on a loan you are seven years into can lower the payment and still cost more overall. This one shows both so you can decide deliberately.
When break-even is the wrong test
If the goal is shortening the term, pulling cash out, or removing mortgage insurance, break-even on payment savings is not the right measure. Those are structural changes, and they should be judged on the balance and the payoff date rather than the monthly difference.
Related
All calculators · Refinance options · When refinancing makes sense · Recasting vs. refinancing
Want the real numbers instead of estimates? I am David Silva, a mortgage loan officer in Westminster, CO (NMLS 1352284), licensed in Colorado, California, Georgia and Texas. Send me your scenario and I will run it with your actual credit profile, the property real taxes and HOA, and current pricing.