Mortgage Refinance Calculator

Mortgage Refinance Calculator

Estimate the new principal-and-interest payment after refinancing and compare it with your current mortgage payment.

SOBANUKIRWA IGISUBIZO

Ibi bibarwa bite?

The calculation amortizes the remaining balance over the new term at the new fixed rate. Closing costs, cash-out proceeds, escrow and prepayment penalties are excluded unless added to the new balance.

Refinance payment formulaNew payment = P × r(1 + r)ⁿ ÷ ((1 + r)ⁿ − 1)

Urugero rufatika

Refinancing a $280,000 balance at 5.5% for 25 years produces an estimated principal-and-interest payment near $1,720 per month before closing costs.

Igisubizo cyabazwe

Remaining loan balanceNew annual rateIgisubizo cyabazwe
$224,000.005.5%$1,271.85
$280,000.005.5%$1,589.81
$336,000.005.5%$1,907.77

Ibyafashwe nk'ukuri, uko ibisubizo bisobanurwa n'amakosa akunze kubaho

Ibyafashwe nk'ukuri mu ibara

  • Rates and recurring amounts stay constant for the period represented by the formula.
  • Inputs use the same monthly or annual time basis stated in each field label.
  • Taxes, fees and contractual rules are excluded unless the calculator explicitly asks for them.

Uko wasobanura igisubizo

  • Use the headline as a planning estimate and compare it with the detailed totals.
  • Run a baseline plus favorable and conservative scenarios before deciding.
  • Confirm important results against a lender, payroll statement, tax authority or signed contract as applicable.

Amakosa akunze kubaho ugomba kwirinda

  • Mixing annual rates with monthly amounts or entering a percentage as a decimal.
  • Leaving out fees, taxes, changing rates or timing differences that apply to the real decision.
  • Treating approval guidelines, market returns or future appreciation as guarantees.