Refinance Calculator

The rule of thumb is to refinance when you can drop your rate by at least 0.75–1 percentage point AND you plan to stay in the home longer than the break-even point. If you'll move or sell before then, the closing costs eat your savings. Run the numbers carefully — small drops at low balances often aren't worth the cost.

Your break-even point is how many months it takes for your monthly savings to add up to the closing costs you paid. If closing costs are $4,800 and you save $400/month, break-even is 12 months — after that, every dollar saved is real savings. If you'd sell or move before break-even, refinancing loses you money.

A typical refinance takes 30–60 days from application to closing. The lender appraises your home, verifies income, runs underwriting, and prepares closing documents. Some lenders advertise faster timelines (15-21 days) but those are exceptions. Plan for 45 days as a realistic target.

Yes, briefly. The lender pulls a hard inquiry which typically drops your score 5–10 points, recovered within a few months of consistent payments. Multiple inquiries within a 14-45 day window are usually treated as one for rate-shopping purposes, so applying with several lenders to compare rates won't hurt much more than applying with one.

Yes — these are called "no-cost" refinances, but the costs don't actually disappear. The lender either rolls them into your loan balance or charges you a higher interest rate to offset them. No-cost refinances make sense if you plan to move within a few years; otherwise, paying closing costs upfront usually wins over time.

If you can comfortably afford the higher monthly payment, refinancing from a 30-year to a 15-year loan can save enormous amounts in total interest — sometimes more than half. The rate on 15-year loans is also typically 0.25–0.75% lower. If your current loan has 25+ years left and you've increased income, a shorter-term refi is one of the most efficient money moves available.

A rate-and-term refinance only changes your rate, term, or both — your loan amount stays the same. A cash-out refinance increases your loan amount above your current balance, letting you take the difference as cash. Cash-out refinances have stricter requirements and slightly higher rates because they're considered riskier by lenders.

Rolling closing costs into your loan keeps cash in your pocket today but increases your loan balance, which means more interest paid over time. The math is simple: if you have the cash, pay upfront — you'll come out ahead unless you'd otherwise invest that cash at a return higher than your mortgage rate.

Skip refinancing if your break-even point exceeds how long you plan to stay in the home, if rates have only dropped a small amount (less than 0.5%), if you're resetting a 30-year loan you're 10+ years into (you'll pay more total interest even at a lower rate), or if you're paying off PMI soon and a new loan would restart it.

Legally, as often as you want — there's no federal limit. Practically, you'll need to pass underwriting each time, and each refi has closing costs of 2–5% of the loan amount. Most lenders also have a "seasoning" requirement of 6 months between refinances. Most homeowners refinance 0–3 times during a typical 30-year mortgage.