Refinancing Calculator
Compare your current mortgage with a new offer to see if refinancing saves you money.
Payment savings and lifetime savings answer different questions
Compare the same remaining balance with its existing remaining term and a proposed new term. Closing costs are paid upfront in this model. Include lender charges and other nonrefundable transaction costs; taxes, insurance, prepayment penalties and cash-out borrowing are excluded.
Simple fee recovery divides upfront costs by positive monthly payment savings. It is shown only within both loan terms. This does not compare equity at a sale date: a term extension can recover fees through smaller installments while leaving a larger balance.
The full-term comparison sums each loan’s remaining scheduled payments and adds closing costs to the new loan. It does not discount future dollars. If you expect to sell or refinance again, ask for both balances and all costs at that horizon before deciding.
Example: $250,000.00 remaining, 6.5% with 20 years left, refinanced to 5.5% over 20 years with $5,500.00 upfront costs. Estimated payment savings: $144.21 per month; full-term savings after costs: $29,111.50; simple fee recovery: 38.1 months.
Assumptions 2026-09-20.1. Formulas, rounding, tests and primary sources. These estimates do not provide financial advice or predict approval.