Mortgage refinance calculator
Enter your remaining balance, current rate, the new offer and switching costs to see whether refinancing pays and when you recover the costs.
Loading the tool…
Processing and privacy: The result is calculated inside your browser and your data is not sent to any server.
How to use it
- Enter remaining balance, current rate, years remaining, new rate, new term and refinance costs.
- The result appears straight away and updates as you edit.
- Copy the result, or copy a link that keeps the same values to share it.
How it is calculated
Monthly saving = current payment - new payment. Break-even months = refinance costs / monthly saving. Lifetime difference = current payment x months left - new payment x new months - costs.
Example
Inputs: Remaining balance = 200,000, Current rate = 7 %, Years remaining = 25 years, New rate = 5 %, New term = 25 years. Result: Monthly saving: 244.38; Current payment: 1,413.56; New payment: 1,169.18.
Limits and caveats
- Ignores the time value of money and taxes.
- Extending the term can lower the payment but raise the total cost, so check the lifetime figure too.
Questions about this tool
What is the break-even point?
The number of months until the monthly saving covers the refinance costs. If you will sell before then, it usually does not pay.
Why can the lifetime figure be negative with a monthly saving?
A longer new term adds more payments, so the instalment falls while the total you pay rises.
Which costs should I include?
Valuation, registration and lender fees for the new loan, plus any early settlement fee charged by your current lender.