Illustrative rate estimates as of June 2026. Your actual rate will vary. Get a real quote below.

ProductRate Range (est.)
30-year fixed refi6.50%–7.25%
15-year fixed refi5.90%–6.60%
5/1 ARM5.75%–6.50%
HELOC (variable)7.00%–8.50%
Home equity loan (fixed)7.25%–8.75%
Current Loan
New Loan
HELOC / Home Equity
Typical closing costs run 2–6% of loan balance. We'll estimate 2.5% if left blank.
What's included in closing costs?
FeeTypical Range
Loan origination0.5%–1.0% of loan
Appraisal$350–$750
Title search$200–$400
Title insurance (lender)0.4%–0.8% of loan
Attorney / settlement$500–$1,200
Credit report$30–$75
Recording fees$50–$200
Prepaid interestVaries
Total estimate2%–6% of loan
Prime rate (2026 est.): 6.75%. Typical HELOC margin: 0.50%–1.00%. Default rate: 7.50%.
Your Refinance Results
Current monthly payment
New monthly payment
Monthly savings

Closing costs used
Break-even
Break-even date (approx.)

Total interest — current loan
Total interest — new loan
Lifetime interest savings
Your HELOC Borrowing Power
Home value
Outstanding mortgage
CLTV limit applied

Max HELOC credit line
Draw amount
HELOC rate
Interest-only monthly payment

Understanding Your Refinance Break-Even Point

Refinancing your mortgage can lower your monthly payment, shorten your loan term, or tap your home's equity — but none of that is free. Lenders charge closing costs that typically run between 2% and 6% of your loan balance. Before you sign anything, the single most important number to understand is your break-even month: how long until your monthly savings fully repay those upfront costs.

The math is straightforward. If you save $200 per month and pay $5,000 in closing costs, you break even in 25 months — a little over two years. Stay in your home longer than that, and refinancing was profitable. Move sooner, and you lose money on the deal.

The Term-Reset Trap Most Calculators Miss

Here's a scenario almost every online calculator ignores: what happens when you refinance a loan you've already paid down for years? Suppose you're 8 years into a 30-year mortgage. You have 22 years (264 months) left. If you refinance into a fresh 30-year loan at a lower rate, your monthly payment drops — but you've added 8 years back onto your debt. Even with a better rate, you may pay tens of thousands more in total interest over your lifetime. This calculator shows you both the monthly savings and the lifetime interest cost so you can make a fully informed decision. A 15-year refinance is often the better choice for borrowers who have already built equity.

HELOC vs Cash-Out Refi: Which Is Right for You?

If your goal is accessing equity — not reducing your rate — you have two main tools. A Home Equity Line of Credit (HELOC) is a revolving credit line secured by your home, typically at a variable rate tied to the prime rate. A cash-out refinance replaces your entire mortgage with a larger one and delivers the difference as cash. HELOCs have lower upfront costs and more flexibility; cash-out refis can lock in a fixed rate on the full amount. This calculator handles both so you can compare your options side by side.

The HELOC borrowing power formula is: max credit line = (home value × CLTV limit) − outstanding mortgage balance. Most lenders set the CLTV limit at 80%–85%, meaning you can borrow up to 85 cents of every dollar of value, minus what you already owe.

Interest-only HELOC payments are calculated simply: draw amount × annual rate ÷ 12. On an $80,000 draw at 7.50%, that's $500 per month — only interest, no principal paydown during the draw period (typically 10 years). Plan for the repayment phase when both principal and interest are due.


Frequently Asked Questions
Break-even months = total closing costs ÷ monthly payment savings. For example, if closing costs are $6,000 and you save $200/month, break-even is 30 months. If you plan to stay in the home at least that long, refinancing is likely worthwhile.
Combined Loan-to-Value (CLTV) is the sum of all loans against your home divided by its appraised value. Most lenders cap HELOC lending at 80%–85% CLTV. If your home is worth $400,000 and you owe $300,000, your equity is $100,000 but at 85% CLTV your max credit line is only $40,000 ($400,000 × 0.85 − $300,000).
Typical refinance closing costs run 2%–6% of the new loan balance. On a $300,000 refinance that's $6,000–$18,000. The biggest components are lender origination fees (0.5%–1%), appraisal ($350–$750), and title insurance.
When you refinance an existing loan into a new 30-year term, you restart your amortization clock. Even if your rate drops, you may pay more total interest over your lifetime than if you'd kept your current loan or chosen a shorter new term. Always compare lifetime interest costs, not just monthly payments.