Refinance Calculator

Description

Is the interest rate on your mortgage too high? Should you re-finance? Generally, you will need at least a 2% difference in loan rates to pay back the cost of a new mortgage. However, this depends on how many years you plan on staying in your home. Use this calculator to help decide whether refinancing makes sense.

When to Use

Use the refinancing tool when:
  • You find a loan 2% or lower than your current loan
  • Considering re-financing your current home
  • You wish to pay off a loan early
  • Thinking about trading up

What information you will need

  • Information about your current or prospective new loan
  • Home insurance premium amounts
  • Loan statements
  • Mortgage statements
  • Estimate of new loan closing costs

Note: You do not need to have all this information to use the tool, but the more you have available, the more accurate the calculation.

Date:
Property Address:
Name:
 
1. Provide information concerning your current loan
Principal
Interest Rate: (Enter 7¾% as 7.75)
Term in years:
How long have you had the loan: Years: Months:

2. Provide information on the new loan
Principal
Interest Rate: (Enter 7¾% as 7.75)
Term in years:
How long will you be in your current home: Years:

3. Provide an estimate of the new loan (either Option 1 or Option 2)
Option 1   Option 2  
Closing cost as a percent (2-6% of loan amount) Loan origination fee:
  Lender fees:
  Recording fee:
  Title Insurance:
  Appraisal:
  Escrow fee:
  Other fees:
  # discount points:
  Prepayment penalty on current loan:

Add closing costs to New Loan
Add closing costs to payment amount