Loan Refinance Break-Even Calculator
Enter your refinance closing costs and expected monthly payment savings to find your break-even point.
Loan Refinance Break-Even Calculator
Calculate how many months it takes to recoup refinance closing costs from lower monthly payments.
Refinancing a loan (often a mortgage) usually comes with closing costs. The break-even point is how long it takes your monthly savings to add up to those upfront costs — if you plan to keep the loan (or the home) shorter than that, refinancing may not pay off.
Example
- With the default values shown above, this calculator returns: Break-Even Point ≈ 26.7; Break-Even Point (Years) ≈ 2.22.
Frequently Asked Questions
What counts as a closing cost?
Typical refinance closing costs include the origination fee, appraisal, title insurance, and other lender or third-party fees — check your loan estimate for the exact total.
Is refinancing worth it if I move before the break-even point?
Usually not from a pure cost standpoint — you would pay the closing costs but not stick around long enough to recoup them through lower payments.