AbraCalc

Refinance Break-Even: $250/Month Savings, $6,000 Closing Costs

Saving $250 per month with $6,000 in closing costs means your refinance break-even point is 24 months.

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How to use this tool

  1. Enter current monthly payment, new monthly payment and closing costs in the fields above.
  2. Results update instantly as you type — or click Calculate.
  3. Read your break-even period and the full breakdown beneath it.

See when a refinance with higher closing costs and a $250 monthly saving finally begins to pay off.

Frequently asked questions

What is the refinance break-even point?
The break-even point is when your cumulative savings from the lower monthly payment equal the upfront closing costs you paid to refinance.
What if I plan to sell before the break-even?
If you'll move before break-even, refinancing costs you money. Consider a no-closing-cost refinance (usually a slightly higher rate) if you're uncertain about staying.