Refinance Calculator
Calculate refinancing savings, break-even point, and monthly payment changes. Compare your current mortgage with potential refinancing options.
Refinance Analysis
Current Loan Details
New Loan Details
Include appraisal fees, closing costs, origination fees, and other refinancing expenses
Refinance Analysis
How to Calculate Refinance Savings in Australia
Our refinance calculator shows whether switching to a new home loan could save you money. Enter your current loan balance, rate, and term; the remaining term; the new loan rate and term; and any refinance costs. You get monthly payment savings, total interest savings, break-even time, and net savings after costs.
What This Refinance Calculator Calculates
The calculator compares your current monthly repayment and total interest over the remaining term with a new loan at the rate and term you enter. It works out the monthly saving, total interest saved, and how many months it takes to recover refinance costs (break-even). Net savings is total savings minus upfront costs—the key number to see if refinancing is worthwhile.
How to Use the Refinance Calculator
Enter your current loan balance, current interest rate and original term, and remaining term in years. Then enter the new interest rate and new term you are considering, and all refinance costs (application fees, valuation, discharge fees, etc.). Click Calculate Refinance Savings. Use the break-even result to see how long you need to keep the new loan for savings to outweigh costs. If you might sell or refinance again soon, a long break-even can make refinancing less attractive.
What the Results Mean
Monthly savings is the drop in your repayment. Break-even (months) is how long until those savings have paid back the refinance costs. Net savings is total interest saved minus upfront costs. Generally, refinancing is worth it if net savings is positive and you expect to keep the loan past break-even. For more comparisons, use our Mortgage Calculator for repayments or our Loan Comparison Calculator to compare two loans side by side.
Refinancing Tips & Considerations
When to Refinance
- • Interest rates have dropped significantly
- • Your credit score has improved
- • You want to change loan terms
- • You need to remove PMI
- • You want to consolidate debt
- • Break-even point is reasonable (2-3 years)
Refinance Costs to Consider
- • Application and origination fees
- • Appraisal fees ($300-$600)
- • Title search and insurance
- • Attorney fees
- • Recording fees
- • Prepaid interest and escrow
How to Use This Calculator
Step-by-Step Guide
- 1. Enter your current loan balance
- 2. Input current interest rate and terms
- 3. Add remaining loan term
- 4. Enter new interest rate and terms
- 5. Include all refinance costs
- 6. Click "Calculate" to see analysis
Understanding Results
- • Monthly Savings: Difference in payments
- • Break-Even: Time to recover costs
- • Net Savings: Total savings after costs
- • Interest Savings: Total interest reduction
- • Recommendation: Based on analysis
Frequently Asked Questions
What's a good break-even point for refinancing?
Generally, a break-even point of 2-3 years or less is considered good for refinancing. If you plan to stay in your home longer than the break-even period, refinancing typically makes financial sense. Consider your future plans and how long you expect to keep the loan.
Should I refinance if I'm close to paying off my loan?
If you're close to paying off your loan, refinancing may not make sense due to the upfront costs and the fact that you'll be paying interest on a new loan term. Consider the total interest you'll pay over the remaining term vs. the new loan term.
Can I refinance to get cash out?
Yes, cash-out refinancing allows you to borrow more than your current balance and receive the difference in cash. However, this increases your loan amount and monthly payments. Use this calculator with your new loan amount to see the impact on your payments.
How often can I refinance?
There's no legal limit on how often you can refinance, but frequent refinancing can be expensive due to closing costs. Most lenders require you to wait at least 6 months between refinances. Consider the costs and benefits carefully before refinancing multiple times.
When is refinancing not worth it?
Refinancing may not be worth it if your break-even period is longer than you plan to keep the loan, if you are close to paying off the loan, or if upfront costs wipe out most of the interest savings. Also consider non-financial factors: exit fees on your current loan, lost features (e.g. offset), or a much longer new term that could mean paying more interest over the full life of the loan. Use this calculator to check net savings and break-even before deciding.
How the Refinance calculator works
This free refinance calculator runs entirely in your browser using standard mathematical formulas. Enter your figures, tap Calculate, and results update instantly — no signup required.
Figures are estimates for general information. Always verify important decisions with a qualified professional where relevant.
- Input your values using the fields above (numeric keypad on mobile).
- Results use precise floating-point arithmetic rounded for display.
- Refresh or change inputs and recalculate anytime.
Worked example
- Choose typical values for a common refinance scenario.
- Enter those values in the calculator fields above.
- Tap Calculate and compare the on-screen result with the expected formula outcome.
- Adjust one input at a time to see how the result changes.
Frequently Asked Questions
Is the Refinance calculator free?
How accurate is this refinance calculator?
Does it work on mobile?
Are my numbers stored?
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