Is the refinance calculator free?
Yes. It is completely free to use, with no signup, no account, and no paywall.
How accurate are the results?
The calculator uses the standard formulas for this kind of math, but real-world results can differ once fees, rounding, rate changes, and provider-specific rules come into play. Treat the output as a planning estimate, not a quote.
Does it stay local?
Yes. The numbers you enter are processed entirely in your browser and never leave your device.
How do I work out my break-even point?
Divide your total closing costs by the monthly saving the tool reports. On the defaults, saving 231.70 a month against 7500 of costs breaks even at about 32 months. If there is any chance you sell or refinance again before then, the deal does not pay.
Does it model resetting to a new 30-year term?
No, and that is deliberate. It runs both rates over the same remaining term, which isolates the rate change. Resetting to 30 years on a loan you have already paid down for five years lowers the payment further but stretches the interest back out, and the tool cannot show you that trade.
Is a 1% rate drop really the threshold to refinance?
It is a rule of thumb, not a rule. What matters is closing costs divided by monthly saving, measured against how long you will hold the loan. On a large balance a 0.5% drop can save enough per month to clear a 5000 cost in under two years, and on a small balance even a 1.5% drop might not.
Can it handle a cash-out refinance?
Not directly. Enter the new, larger balance in the balance field to see what the cash-out payment would be, but the comparison against your current payment will then be misleading, because the two lines would be sized on different principals.
Should I compare the note rate or the APR?
Compare note rates to get the payments right, since that is what the servicer bills. Compare APRs if you want a fee-inclusive view of which offer is cheaper. Do not mix them, because a note rate on one side and an APR on the other produces a saving figure that means nothing.