Calculator

Should you refinance?

Honest break-even math. We include penalty, legal fees, and time-to-recover so you can decide based on real numbers.

$450,000
5.49%
4.19%
2 yrs
25 yrs
$1,500
Get a refinance quote
Net savings (rest of term)
$8,400
Old monthly payment$2,768
New monthly payment$2,419
Monthly savings$349
Estimated penalty (3-mo interest)$6,176
Total cost to refinance$7,676
Break-even at22 months

About the penalty estimate

This calculator uses the simpler three months' interest penalty—the standard for variable-rate mortgages and a fallback for fixed-rate at most monoline lenders. If you're with one of the Big 5 banks on a fixed-rate mortgage, your actual penalty will likely be the Interest Rate Differential (IRD), which is typically much higher.

Big-bank IRD calculations are notoriously punitive. Before you refinance with a bank-fixed mortgage, get the exact payout amount from your lender in writing. We'll model the real number for you and tell you honestly whether breaking still makes sense.

What this calculator shows