Refinance Calculator
Analyse mortgage refinancing savings, calculate break-even point, and determine if refinancing makes financial sense for your situation.
Current Mortgage Details
£
%
years
£
Automatically calculated
New Loan Details
%
years
£
Automatically calculated
Refinancing Costs
£
£
£
Legal fees, title insurance, etc.
Cash-Out Option
£
Additional cash taken from equity (optional)
Analysis Period
years
How long do you plan to keep the loan?
Results will appear here
Enter your current mortgage details and new loan terms to see potential refinancing savings.
Understanding Mortgage Refinancing
💰 When to Refinance
- Rate reduction: Generally worth it if rates drop 0.5-1% or more
- Loan term change: Switch from 30-year to 15-year loan
- Cash-out refinancing: Access home equity for improvements
- ARM to fixed: Switch from adjustable to fixed-rate mortgage
📊 Break-Even Analysis
- Break-even point: Time to recover refinancing costs
- Monthly savings: Reduction in monthly payment
- Total interest: Compare lifetime interest costs
- Payback period: Closing costs ÷ monthly savings
💸 Refinancing Costs
- Closing costs: Typically 2-5% of loan amount
- Appraisal fee: £300-800 for property valuation
- Legal fees: Solicitor costs for paperwork
- Title insurance: Protection against title issues
⚠️ Considerations
- How long you plan to stay in the home
- Current loan-to-value ratio
- Credit score changes since original loan
- Market conditions and rate trends