Should you refinance?

Run the numbers — payment savings, break-even point, and interest saved over the life of the loan. Then talk to a person.

Current loan balance $480,000

Years remaining 25 yrs

Current interest rate 7.50%

New interest rate 6.50%

New term 30 yrs

Estimated closing costs $8,000

Monthly savings

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P&I comparison.

Break-even

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Months to recover closing costs.

Lifetime savings

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Net of closing costs.

New estimated payment

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Principal & interest only.

Start a refi →

Estimates only. Closing costs vary by program, credit, and property. Taxes, insurance, PMI, and HOA dues are excluded. Not a commitment to lend.

Three reasons people refi

Beyond the rate headline.

"Lower the rate" is one reason. There are at least three more worth running the numbers on.

Lower the payment

Drop your rate, extend the term, or both. The biggest impact when monthly cashflow is the goal.

Pay off faster

Move from a 30-year to a 15-year. Higher payment, but you keep more of every dollar instead of giving it to the bank as interest.

Pull out cash

Convert built-up equity into a renovation budget, debt payoff, or college tuition — at mortgage rates rather than credit-card rates.

FAQ

When the math works.

What's a "break-even" and why does it matter?

Break-even is the number of months you'd need to keep the new loan before your monthly savings make up for the closing costs you paid up front. If you might sell or refi again before break-even, the math doesn't work — even if the rate looks good.

What rate drop makes a refi worth it?

There's no magic number. The classic rule of thumb is 0.5–0.75 percentage points, but it depends entirely on your loan size, how long you'll stay, and what closing costs look like. The calculator above shows your specific break-even.

Should I roll closing costs into the loan?

Sometimes. It avoids cash out of pocket and your break-even still works mathematically — you'll just owe slightly more. We'll lay out both options when we run a real quote.

How fast can a refi close?

As fast as a few weeks once we have your documents and the appraisal is back. Streamline programs (FHA Streamline, VA IRRRL) can be even faster because they skip portions of the underwriting cycle.

Does a refinance restart my mortgage clock?

By default, yes — a new 30-year refi starts a new 30-year amortization. But you can choose a shorter term (e.g., go from 28 years remaining to a 20- or 15-year) and avoid that. The calculator above lets you set the new term to whatever you want.

Ready for a real quote?

Decisions in around 20 minutes during business hours. The conversation is with a person.

Start a refi Call (949) 296-0636