Determine if refinancing makes sense and how much you could save on your mortgage.
Based on your numbers, refinancing could save you money.
Monthly Savings
+$451
Break-Even Period
0.9 years
Current Loan
$2,400
New Loan
$1,949
Monthly Savings
+$451
Per month difference
Interest Savings
+$81,126
Over loan lifetime
Lifetime Savings
+$71,126
Total cost difference
You'll need to stay in your home for at least 11 months to recoup closing costs of $5,000 through monthly savings. This is a favorable break-even period.
How long will you stay?
Make sure your break-even period (0.9 years) is shorter than how long you plan to keep the home.
Credit score matters
A better credit score can help you qualify for lower interest rates, increasing your savings.
Compare total costs
Look beyond monthly payments. Consider the total interest and overall cost of each loan option.
Watch out for fees
Closing costs of $5,000 can add up. Shop around for the best deal from multiple lenders.
Educational Disclaimer
All calculations are estimates for educational purposes only. This is not financial advice. Please consult with a licensed financial advisor or mortgage professional before making any refinancing decisions.