Comprehensive Mortgage Refinance Calculator

Advanced refinance analysis with break-even calculations, cash-out scenarios, NPV analysis, and strategic refinancing recommendations. Make data-driven refinancing decisions.

Current Mortgage Details

Current Loan Balance ($) Current Interest Rate (%) Remaining Term (years) Current Monthly Payment ($) Leave blank to calculate automatically Prepayment Penalty ($)

New Loan Terms

New Interest Rate (%) New Loan Term (years) Refinance Type

Refinance Costs

Origination Fee ($) Appraisal Fee ($) Title & Escrow ($) Credit Report & Processing ($) Recording & Other Fees ($) Discount Points ($) Optional points to reduce interest rate Roll costs into loan Add closing costs to new loan balance

Financial Analysis Parameters

Current Home Value ($) Alternative Investment Return (%) Expected return if closing costs were invested Tax Rate (%) Marginal tax rate for mortgage interest deduction Analysis Period (years) Include PMI Analysis Analyze PMI removal opportunities

Enter your mortgage details and analyze refinancing options.

How it works

This comprehensive refinance calculator analyzes both rate-and-term and cash-out refinancing scenarios. It calculates break-even periods, performs NPV analysis, evaluates opportunity costs, and provides strategic recommendations based on your financial situation and market conditions.

Example

$400K balance at 6.5% with 25 years remaining, refinancing to 4.5% for 30 years with $8K costs: Monthly savings of $523, break-even in 15 months, 5-year NPV of $18,420 - excellent refinance opportunity.

FAQ

What's the difference between rate-and-term and cash-out refinancing?

Rate-and-term refinancing replaces your existing loan with a new one, potentially changing the interest rate and term. Cash-out refinancing allows you to borrow more than you owe, taking the difference in cash.

How is the break-even period calculated for refinancing?

Break-even period = Total refinance costs ÷ Monthly payment savings. This shows how long it takes for the monthly savings to offset the upfront costs of refinancing.

What costs should be included in refinance analysis?

Include origination fees, appraisal fees, title insurance, attorney fees, credit report fees, recording fees, and discount points. Also consider any prepayment penalties on your current loan.

When does refinancing make financial sense?

Generally when you can reduce your rate by 0.5-1%, plan to stay in the home longer than the break-even period, and the NPV is positive after considering opportunity costs.

How does cash-out refinancing affect my financial position?

Cash-out refinancing increases your loan balance and may change your interest rate. Consider the cost of the cash versus other financing options and ensure the use of funds provides adequate returns.