Tools · Refinance Break-Even
Refinance break-even.
Months to recover your closing costs.
Refinancing makes financial sense only when the monthly payment savings recoup the closing costs before you sell or move. This calculator shows the exact break-even and what you save if you stay through the planned period.
US-only. 30-year fixed mortgages are a US product. Other countries use different structures.
YOUR CURRENT MORTGAGE
THE NEW LOAN
RESULT
CURRENT P&I PAYMENT
$0/mo
NEW P&I PAYMENT
$0/mo
MONTHLY SAVINGS
$0/mo
BREAK-EVEN POINT
0 months
NET SAVINGS IF YOU STAY 5 YEARS
$0
RECOMMENDATION
Enter your numbers above.
What this tool assumes
- Standard mortgage amortizationamortizationThe process of paying off a loan through regular payments that cover both principal and interest.Full definition formula: P&I = P × r/(1 - (1 + r)^(-n)), where P is principal, r is the monthly rate, and n is the term in months.
- Closing costs are paid upfront (not rolled into the loan balance). Rolling them in changes the math; this tool does not model that scenario.
- Break-even = closing costs / monthly savings. Whole months, rounded up.
- Net savings if you stay = (monthly savings × months stayed) - closing costs.
- Property tax, insurance, and PMI are not included. Refinancing typically does not affect those except via cash-out reducing equity.
- Tax effects of mortgage interest deduction (limited by SALTState and Local Tax (SALT)The federal deduction for state income taxes, property taxes, and local taxes, currently capped at $10,000 per year.Full definition and itemization) are not modeled. After the OBBBA-permanent standard deductionstandard deductionA fixed dollar amount that reduces your taxable income without itemizing. Most people claim this instead of listing individual deductions.Full definition ($16,100 single / $32,200 MFJMarried Filing Jointly (MFJ)A tax filing status where a married couple combines their income and deductions on one tax return. in 2026), most filers do not itemizeitemizeListing specific tax-deductible expenses (charity, mortgage interest, state taxes, big medical bills) on your tax return one by one, instead of taking the flat lump-sum deduction the IRS gives everyone by default. Only worth the paperwork if your list adds up to more than the lump sum. and the deduction does not change effective rate.