Mortgage Payoff Calculator

Comprehensive mortgage payoff calculator with multiple strategies. Compare extra payments, target dates, refinancing, and investment alternatives.

Current Loan Details

Current Loan Balance ($) Outstanding principal balance Interest Rate (%) Remaining Term (years) Years left on current loan Current Monthly Payment ($) Principal & interest only

Original Loan Context (Optional)

Original Loan Amount ($) Original Term (years)

Payoff Strategy

Strategy Type

Extra Monthly Payment ($)

Investment Comparison (Optional)

Expected Investment Return (%) Annual return for opportunity cost analysis Current Tax Bracket (%) For mortgage interest deduction analysis Current Mortgage Interest Deduction ($) Annual tax savings from mortgage interest

Enter loan details and select a payoff strategy.

How it works

Analyzes multiple mortgage payoff strategies including extra payments, target dates, lump sums, and refinancing. Compares opportunity costs and provides strategic recommendations.

Example

$250K balance, 6.5%, 25 years left: Adding $200/month saves $85K interest and pays off 7 years early.

FAQ

Should I pay off my mortgage early or invest?

Compare your mortgage rate to expected investment returns. If mortgage rate is below 5%, investing may yield better returns. Consider risk tolerance and tax implications.

What's the best payoff strategy?

Depends on cash flow and goals. Extra monthly payments provide consistency, lump sums give immediate impact, and combination strategies balance both approaches.

How does refinancing affect payoff strategies?

Lower rates can reduce monthly payments, allowing more for extra principal. However, refinance costs and extended terms may offset benefits without additional payments.

What are the tax implications of early payoff?

You'll lose mortgage interest deductions, potentially increasing tax liability. This "tax penalty" should be factored into payoff vs. investment decisions.

Should I prioritize mortgage payoff over other goals?

Ensure you have emergency funds, maximize employer 401k matches, and pay off higher-interest debt first. Mortgage payoff should align with overall financial strategy.