Mortgage Refinance Estimator
Estimate your new payment and lifetime interest after refinancing your mortgage.
Refinancing replaces your current mortgage with a new loan, usually to capture a lower rate or change the term. Enter your remaining balance, the new rate, and the new term to estimate the payment. On a $300,000 balance at 6% over 30 years the payment is about $1,799 before taxes and insurance. Compare it to your current payment and factor in closing costs.
These results are estimates for informational purposes only and are not financial, tax, or legal advice. Your actual figures from a lender or the IRS may differ. Consult a qualified professional before making decisions.
Estimated monthly payment
$1,798.65
Principal vs. interest paid per year
Amortization schedule
| Year | Principal | Interest | Balance |
|---|---|---|---|
| 1 | $3,684 | $17,900 | $296,316 |
| 2 | $3,911 | $17,673 | $292,405 |
| 3 | $4,152 | $17,431 | $288,252 |
| 4 | $4,409 | $17,175 | $283,844 |
| 5 | $4,681 | $16,903 | $279,163 |
| 6 | $4,969 | $16,615 | $274,194 |
| 7 | $5,276 | $16,308 | $268,918 |
| 8 | $5,601 | $15,983 | $263,317 |
| 9 | $5,947 | $15,637 | $257,371 |
| 10 | $6,313 | $15,271 | $251,057 |
| 11 | $6,703 | $14,881 | $244,354 |
| 12 | $7,116 | $14,468 | $237,238 |
| 13 | $7,555 | $14,029 | $229,683 |
| 14 | $8,021 | $13,563 | $221,662 |
| 15 | $8,516 | $13,068 | $213,147 |
| 16 | $9,041 | $12,543 | $204,106 |
| 17 | $9,599 | $11,985 | $194,507 |
| 18 | $10,191 | $11,393 | $184,316 |
| 19 | $10,819 | $10,765 | $173,497 |
| 20 | $11,486 | $10,097 | $162,011 |
| 21 | $12,195 | $9,389 | $149,816 |
| 22 | $12,947 | $8,637 | $136,869 |
| 23 | $13,746 | $7,838 | $123,123 |
| 24 | $14,593 | $6,990 | $108,530 |
| 25 | $15,494 | $6,090 | $93,036 |
| 26 | $16,449 | $5,135 | $76,587 |
| 27 | $17,464 | $4,120 | $59,124 |
| 28 | $18,541 | $3,043 | $40,583 |
| 29 | $19,684 | $1,900 | $20,898 |
| 30 | $20,898 | $685 | $0 |
About the Refinance Estimator
A refinance estimate starts with what you still owe, not your original purchase price, because you are taking out a fresh loan to pay off the old one. Enter that balance, the rate you have been quoted, and the term you want, and this tool returns the new principal and interest payment plus the total interest over the life of the new loan. The decision usually comes down to the break-even point. Refinancing carries closing costs of roughly 2% to 5% of the balance, so divide those costs by your monthly savings to see how many months you need to stay in the home before the move pays for itself. Resetting a loan you are ten years into back to a fresh 30-year term can lower the monthly payment while raising lifetime interest, so look at both numbers, not just the payment. A shorter new term, such as moving from 30 years to 15, often pairs a higher payment with large interest savings.
Frequently asked questions
How do I know if refinancing is worth it?+
Find your break-even point: divide total closing costs by the monthly payment you save. If you plan to keep the home longer than that number of months, the refinance pays for itself. A rate drop of at least 0.5% to 1% is a common rule of thumb.
What are typical refinance closing costs?+
Expect 2% to 5% of the loan balance, covering the appraisal, lender fees, title work, and recording. On a $300,000 refinance that is roughly $6,000 to $15,000, which you can pay up front or roll into the new balance.
Does refinancing restart my loan term?+
It can. Refinancing into a new 30-year loan resets the clock, which lowers the payment but extends how long you pay interest. Choosing a term that matches the years left on your current loan avoids paying interest for longer than you need to.
What is the difference between rate-and-term and cash-out refinancing?+
A rate-and-term refinance only changes your rate or term. A cash-out refinance borrows more than you owe and hands you the difference in cash, raising the balance and usually the rate. This estimator covers the rate-and-term case.