Understand your goal
A lower payment, a lower rate, a faster payoff or access to equity — the right loan structure depends on what you're actually trying to achieve.
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Mortgage Refinance
Lower your rate,shrink your payment,own your home sooner
Replace your current home loan with one built for today's goals — a better rate, a lighter monthly payment, a shorter term, or cash drawn from the equity you've already earned.
Aim for a lower rate or a smaller monthly payment
Start with your goal
What are you hoping to accomplish?
What are you hoping to accomplish?
Every homeowner's situation is different. Start by choosing what matters most to you.
Selecting a goal takes you to the estimator. You can change it at any time.
Refinance Estimator
A Few Quick Questions, Then Your Estimate.
Nothing you enter affects your credit. Every number is an illustrative estimate, and there's no obligation to continue.
- 01Goal
- —
- 02Loan balance
- —
- 03Current rate
- —
- 04Home value
- —
- 05ZIP code
- —
Step 1 / 5Goal
What would you like to accomplish?
Your Numbers
Tell The Story.
Based on a $410,000 balance at 7.42%, compared with an illustrative 6% rate over a 30-year term.
You may be able to reduce your monthly payment by
per month
Current estimated payment
per month
Potential estimated payment
per month
Estimated monthly difference
−
per month
Monthly payment comparison
7.42% → 6%
Current
Estimated
Estimated annual difference
Illustrative estimate only. Actual savings depend on your rate, loan terms, closing costs, credit profile and eligibility. This is not a loan offer or a commitment to lend.
When Could The Savings
Outweigh The Costs?
Break-even is the estimated month when accumulated monthly savings could offset the upfront cost of refinancing.
Estimated closing costs
Potential monthly savings
Estimated break-even
Costs
20 monthsBreak-even
012 mo24 mo36 mo48 mo+
After break-even, estimated savings continue for as long as you keep the loan.
If you expect to stay in your home well beyond 20 months, the estimated savings may outweigh the costs. If you may move or sell sooner, refinancing may not make sense.
Closing costs are estimated at roughly 2.4% of the loan balance plus fixed fees. Actual costs vary by lender, location and loan program.
How it works
Refinancing, Made Easier To Understand.
Review your numbers
Your balance, current rate, home value and how long you plan to stay are the inputs that matter most. A rough picture is enough to begin.
Compare your options
Different terms and rate types change the math. Comparing a few realistic scenarios side by side is more useful than chasing a single headline rate.
Decide what makes sense
If the savings outweigh the costs within your time horizon, refinancing may be worth pursuing. If not, keeping your current loan can be the smarter move.
Refinance with intention
Rates change. Budgets change. Plans change. Refinancing is simply a way to check whether your loan still fits the life you're living now.
Refinancing isn't automatically
the right move.
01
Your current rate
If your current rate is meaningfully higher than the rate available to you today, refinancing may deserve a closer look. A small difference often won't cover the costs.
02
Your closing costs
Refinancing comes with costs — typically 2% to 5% of the loan amount. Compare those costs against the potential monthly savings before deciding.
03
How long you'll stay
Your expected time in the home matters. If you may move before the break-even point, the upfront costs could outweigh the monthly benefit.
The most useful refinance decision usually starts with three honest numbers: your rate, your costs, and how long you plan to stay.
See how the numbers
can change.
Sample figures only, calculated with standard amortization. They are not offers, quotes or predictions of what you may qualify for.
Scenario 01
Lowering a monthly payment
$280,000 balance · 7.25% → 5.95% · 30-year term
- Current payment
- $1,910
- Estimated new payment
- $1,670
- Estimated monthly difference
- $240
- Estimated closing costs
- $6,800
- Estimated break-even
- 28 months
A meaningful rate gap makes the monthly difference large enough to recover costs in under two years.
Scenario 02
Paying the loan off sooner
$340,000 balance · 6.50% (30-yr) → 5.25% (15-yr)
- Current payment
- $2,149
- Estimated new payment
- $2,733
- Monthly change
- +$584
- Interest remaining, current loan
- $433,651
- Interest on new loan
- $151,973
The payment rises, but the loan is retired in half the time with substantially less total interest.
Scenario 03
Accessing home equity
$300,000 balance · $480,000 value · $40,000 cash-out
- Current payment
- $1,847
- Estimated new payment
- $2,116
- Monthly change
- +$268
- New loan amount
- $340,000
- Resulting loan-to-value
- 71%
Cash-out increases the balance owed. Available to qualified homeowners only, subject to equity and underwriting.
Understand refinancing
before you decide.
Five short answers cover most of what homeowners need to evaluate a refinance offer with confidence.
Refinancing replaces your current mortgage with a new loan — usually to change the rate, the term or the loan amount. The new loan pays off the old one, and you make payments on the new loan going forward.
The fees for originating and closing the new loan, typically 2% to 5% of the loan amount. They can include origination, appraisal, title, escrow and recording fees. Some lenders allow costs to be rolled into the new balance, which increases the amount you owe.
The month when your accumulated monthly savings equal the cost of refinancing. Divide estimated closing costs by estimated monthly savings — for example, $7,800 ÷ $387 is roughly 20 months.
When a meaningfully lower rate is available to you, when you expect to stay past break-even, or when your goals have changed — such as wanting a shorter term or a more predictable payment. It rarely makes sense if you plan to move soon.
A refinance for more than you currently owe, with the difference paid to you at closing. It's available to qualified homeowners with sufficient equity, increases your loan balance, and may change your rate and payment.
Straightforward information,
honestly presented.
No hard credit pull to see an estimate
The estimator uses only the figures you enter. Nothing here affects your credit score.
Clear about what's an estimate
Every number on this page is illustrative. We label assumptions instead of hiding them in footnotes.
Your email is used for your estimate
We send your results and relevant refinance information. You can unsubscribe at any time.
No pressure, no obligation
If refinancing doesn't make sense for you, the most valuable outcome is knowing that.
AltFTool is an information and comparison resource. We are not a lender and do not make credit decisions. Equal Housing Opportunity.
Fixed assumptions
Estimates assume a 30-year amortization for your current loan, closing costs of roughly 2.4% of the balance plus fixed fees, and illustrative market rates.
Frequently Asked Questions
Answers before you make a decision.
Have a question about refinancing math, timelines, credit impact, or costs? Here are answers to common questions.
Compare the estimated monthly savings against the closing costs, then look at your break-even point. If you plan to stay in the home well past break-even and the new loan supports your goals, refinancing may be worth a closer look.
No. The estimator works entirely from the numbers you enter. There is no credit check and no hard inquiry involved in seeing your estimated results.
It's an illustration, not a quote. We use standard amortization math and illustrative market rates. Your actual rate and payment depend on credit profile, equity, property type, occupancy, loan program and current market pricing.
Closing costs commonly run about 2% to 5% of the loan amount and can include origination, appraisal, title, escrow and recording fees. Some lenders allow costs to be rolled into the new loan, which increases the balance.
Usually, yes — a new 30-year loan resets the clock. That can lower your monthly payment while increasing total interest. Choosing a shorter term, or a term matching your remaining years, avoids restarting from zero.
You'll see your estimated results on this page, and we'll email a copy along with helpful next steps. There is no obligation to continue, and you can unsubscribe at any time.
Your details are used to prepare your estimate and to contact you about refinance options. Review the Privacy Policy for a full description of how information is handled.
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your refinance options?
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