Refinance Break-Even Calculator
Refinancing costs money up front. See how many months it takes to recover that cost — and whether you are actually saving interest or just stretching the loan.
Your mortgage today
$
%
$
years
The new mortgage
%
years
$
$
$
$
$
$
months
years
You save $424.50 a month and break even after 1 year, 7 months.
You recover your costs in
1 year, 7 months
At $424.50 less per payment, the $7,950 cost of refinancing is recovered in about 19 payments.
- Payment today
- $3,100.00
- New payment
- $2,675.50
- Monthly saving
- $424.50
- Total cost to refinance
- $7,950
Staying where you are$124,645
After refinancing$92,984
- Interest saved over the comparison period
- $31,661
- Net benefit after all costs
- $23,711
Both figures matter. The break-even tells you how long until the move pays for itself in cash flow; the interest comparison tells you whether you are actually paying less for your money.
Assumes rates hold for the comparison period, which will not be the case beyond your term. Clover Mortgage Inc. is a licensed mortgage brokerage. This calculator provides estimates for information only and is not an offer of credit, an approval, or financial advice.
Every mortgage is different. A Clover Mortgage broker can confirm what you actually qualify for across more than 50 lenders — at no cost to you.
You break even in
1 year, 7 months
Common questions
- Why does a lower payment not always mean savings?
- Extending your amortization lowers the payment while increasing the total interest you pay. This calculator compares interest over a common horizon precisely so a longer amortization cannot look like a saving when it is not.