Finance

Refinance Calculator

Full calculator

Finance

Refinance Calculator

Refinance decision

Instant refinance answerLikely worth checking$193.84/mo saved · 19 month break-even

$193.84Monthly saving19 moBreak-even$3,500.00Upfront costs$54,652.26Lifetime saving

New term does not extend the remaining payoff period.

Fixed-rate amortising loanFees paid upfrontTaxes and insurance excluded

Current loan balance ($)Current annual rate (%)Current years left (years)

New offer

New annual rate (%)New term (years)Refinance costs ($)

Live resultLikely worth checking$193.84/mo saved · 19 month break-even · old interest $461,529.67 · new interest plus costs $406,877.41.

Formula used

Monthly payment = P × r ÷ (1 − (1 + r)^−n). Monthly saving = old payment − new payment. Break-even months = closing costs ÷ monthly saving.

This is the method behind the answer, so the result can be checked rather than simply trusted.

Live math canvas

Your numbers, formula and explanation together

Refinance Calculator: 19 months to break even. Old payment 3,038.43; new payment 2,844.59; monthly saving 193.84. Old remaining interest 461,529.67; new interest plus costs 406,877.41.

Formula applied

The exact method behind this answer

CalculationTime keeps the method visible so the number can be checked instead of blindly trusted.

Monthly payment = P × r ÷ (1 − (1 + r)^−n). Monthly saving = old payment − new payment. Break-even months = closing costs ÷ monthly saving.

Apply the formulaMonthly payment = P × r ÷ (1 − (1 + r)^−n). Monthly saving = old payment − new payment. Break-even months = closing costs ÷ monthly saving.19 months to break evenOld payment 3,038.43; new payment 2,844.59; monthly saving 193.84. Old remaining interest 461,529.67; new interest plus costs 406,877.41.

Your live breakdown

Current inputs in the calculation

These values come from the controls above and update when the calculator changes.

Current loan balance: 450,000 $
Current annual rate: 6.5 %
Current years left: 25 years
New annual rate: 5.8 %
New term: 25 years
Refinance costs: 3,500 $

Resulting answer

19 months to break even

Old payment 3,038.43; new payment 2,844.59; monthly saving 193.84. Old remaining interest 461,529.67; new interest plus costs 406,877.41.

Answer: 19 months to break even
Live support: Old payment 3,038.43; new payment 2,844.59; monthly saving 193.84. Old remaining interest 461,529.67; new interest plus costs 406,877.41.

Assumptions used

What this answer assumes

Estimate only; compare fees, term reset, lender rules and advice before refinancing.

Rates are fixed for the comparison period.
Closing costs are paid upfront and not rolled into the new loan unless entered in the balance.
Taxes, insurance, offset accounts and early-exit fees are outside the estimate.

Master’s Tip

How to use the result well

Master’s Tip: compare both payment saving and total interest. A longer new term can lower payment while increasing lifetime cost.

Printable record

What belongs in the saved calculation

Save the inputs, result, formula, assumptions, page URL and date together so the calculation can be reviewed later.

Current loan balance: 450,000 $
Current annual rate: 6.5 %
Current years left: 25 years
New annual rate: 5.8 %

Visual grid

This number is one point on a larger pattern

Refinance is not just a final answer. It is a step on a line: before and after, input and output, assumption and result.

Micro-timehours, minutes, shiftsHuman scaledays, weeks, projectsMacro-timemonths, years, calendars

InputFormulaResult

19 months to break even

CalculationTime keeps the path visible: the input, the method and the final number belong together.

19 months to break evenOld payment 3,038.43; new payment 2,844.59; monthly saving 193.84. Old remaining interest 461,529.67; new interest plus costs 406,877.41.

Inputs

Current loan balance: 450,000 $
Current annual rate: 6.5 %
Current years left: 25 years
New annual rate: 5.8 %
New term: 25 years
Refinance costs: 3,500 $

Method

Monthly payment = P × r ÷ (1 − (1 + r)^−n). Monthly saving = old payment − new payment. Break-even months = closing costs ÷ monthly saving.

A $450,000 balance at 6.5% over 25 years compared with 5.8% over 25 years saves about $202/month before costs. With $3,500 costs, break-even is about 17 months.

Assumptions

Rates are fixed for the comparison period.
Closing costs are paid upfront and not rolled into the new loan unless entered in the balance.
Taxes, insurance, offset accounts and early-exit fees are outside the estimate.

Notes

Use this space on the printed report for client, supplier, classroom, job-location, measurement, quote or approval notes.