Mortgage Refinance Calculator

When does refinancing make sense?

Refinancing makes sense when your monthly savings exceed the closing costs before you sell or pay off the loan. The break-even point tells you how many months you need to keep the new loan for refinancing to pay off.

How much can I save by refinancing?

Your savings depend on the rate difference, the new loan term, and your closing costs. A 1% rate drop on a $250,000 30-year loan saves roughly $150 per month. Use the calculator above to see your exact savings.

What are typical refinance closing costs?

Refinance closing costs typically range from 2% to 6% of the loan amount, covering lender fees, appraisal, title insurance, and recording fees. Many lenders offer no-closing-cost refinances in exchange for a slightly higher rate.

Should I refinance to a shorter term?

Refinancing from a 30-year to a 15-year loan usually raises your monthly payment but dramatically cuts total interest. It can be worth it if you can afford the higher payment and plan to stay in the home.

Does refinancing reset my loan term?

Yes. Refinancing replaces your current loan with a brand-new loan, so the term starts over. Extending the term can lower your monthly payment but may increase total interest even at a lower rate.

Can I refinance with no closing costs?

Some lenders offer no-closing-cost refinances where the costs are rolled into the rate or the loan balance. You pay a higher rate in exchange for paying less upfront. This can be a good choice if you plan to move soon.