Refinance Calculator
Determine if refinancing your mortgage or loan will save you money and how long it will take to break even.
Original Loan Details
New Loan Details
1. **Lower Interest Rates:** If current interest rates are significantly lower than your original rate, refinancing can save you a lot of money.
2. **Improved Credit Score:** A higher credit score can qualify you for better rates and terms.
3. **Shorter Loan Term:** Refinancing to a shorter term can save you substantial interest, though your monthly payments will likely increase.
4. **Consolidate Debt:** You might refinance to roll other debts (like credit cards) into your mortgage, but be cautious as this extends the repayment period for those debts.
5. **Cash-Out Refinance:** This allows you to borrow more than your current mortgage balance and take the difference as cash, often used for home improvements or other large expenses.
6. **Consider Closing Costs:** Factor in all closing costs. The breakeven point tells you how long it will take for your monthly savings to offset these upfront costs.