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Mortgage Refinance Break-Even Check
Compare a refinance offer against your current mortgage so payment relief, break-even timing, closing costs, and term reset stay in the same view.
Refinance details
Mortgage details
Compare the loan you have with the refinance offer you are considering.
Current mortgage
Start with the mortgage balance and term that would actually be replaced.
Use the estimated payoff balance.
Use the note rate on the current loan.
This helps catch the term-reset tradeoff.
Refinance scenario
Enter the offer terms, including the cost of getting into the new loan.
A lower rate still needs to survive the full comparison.
Use the term on the refinance offer.
Use realistic lender and third-party costs.
Goal
Time horizon
Closing costs
Use 0 for no real pressure and 10 for very high pressure.
How to use this refinance check
Use this as a refinance checkpoint: compare payment relief, break-even timing, total cost, and the new loan term before the lower rate gets all the attention.
Start with the job
Decide whether the refinance is supposed to lower monthly pressure or improve the long-term cost path.
Compare the reset
Model the rate, term, and closing costs together so a lower payment does not hide a longer clock.
Respect the horizon
Break-even timing only matters if you are likely to keep the mortgage long enough for the math to show up.
1
Enter the mortgage you would replace
Use the current payoff balance, rate, and years remaining so the comparison starts with the real loan.
2
Model the refinance offer plainly
Add the new rate, term, and closing costs, then choose whether those costs are paid in cash or rolled into the loan.
3
Read beyond the monthly payment
Use the summary, comparison, and details tabs to review payment relief, break-even timing, total cost, and term reset together.
About this tool
What this helps you do
This tool compares a current mortgage with a refinance scenario using payment change, break-even timing, total modeled cost, and loan-term reset.
How to interpret results
Treat the result as a refinance checkpoint, not an instruction. A lower rate or payment can still be weak if the costs, term, or horizon do not fit.
Why side-by-side matters
Refinance offers can move cost between rate, fees, payment, loan balance, and term. A side-by-side read makes those tradeoffs easier to see.
Limitations
This model uses principal and interest only. It does not quote a loan, include escrow or tax changes, compare points and credits in detail, or replace lender or professional advice.
Keep learning
Refinance notes