Should I Refinance My Mortgage?
Calculate your potential savings, break-even point, and see if refinancing makes sense for your situation.
Current Mortgage
Remaining balance: $291,043
New Loan Terms
Typically 2-5% of loan amount
Refinance Analysis
Refinancing Looks Good!
Based on your numbers, refinancing could save you money.
Monthly Payment Comparison
Current Monthly Payment$2,098
New Monthly Payment$1,745
Monthly Savings+$353
Break-Even Analysis
Closing Costs$5,000
Break-Even Point14 months
✓ You'll recover closing costs in 14 months (1.2 years)
Lifetime Interest Comparison
Interest (Current Loan)$388,594
Interest (New Loan)$337,139
Closing Costs-$5,000
Net Lifetime Savings+$46,455
When Should You Refinance?
Good Reasons to Refinance
- • Interest rates dropped 0.75-1% or more
- • You plan to stay in the home 3+ years
- • Want to switch from ARM to fixed rate
- • Improve credit score since original loan
- • Remove PMI (20% equity reached)
- • Cash-out for home improvements
Reasons to Wait
- • Planning to sell within 2-3 years
- • Closing costs exceed 2 years of savings
- • Already have a low interest rate
- • Credit score has decreased
- • Home value dropped significantly
- • Early in current mortgage (low principal)
Important Disclaimers:
- Estimates Only: This calculator provides estimates. Actual savings depend on your credit, property value, loan type, and current rates.
- Closing Costs Vary: Actual closing costs range from 2-5% of loan amount and vary by lender, location, and loan type.
- Break-Even Analysis: The break-even calculation assumes you'll stay in the home and make no additional changes.
- Consult an Expert: Refinancing decisions should consider your full financial picture, not just monthly savings.
Get Current Rates: Contact Jimmy Joseph MBA at (908) 698-0150 for today's refinance rates and a personalized analysis.