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Refinance Break-Even: When the New Loan Pays for Itself: by how long you keep the home

2026 law · reviewed September 7, 2026

$400,000 at 7.0% with 27 years left, refinanced at 6.0% with $8,000 in costs paid in cash: the new loan's position against the old at five horizons, for a matched 27-year term and for a fresh 30 (hypothetical assumptions; method reviewed September 7, 2026)
Keep the homeNew loan of 27 yearsNew loan of 30 years
3 yearsAhead by $4,012Ahead by $3,686
5 yearsAhead by $12,000Ahead by $11,045
7 yearsAhead by $19,926Ahead by $17,964
10 yearsAhead by $31,576Ahead by $27,287
15 yearsAhead by $49,719Ahead by $38,888

$400,000 at 7.0% with 27 years left, refinanced at 6.0% with $8,000 in costs paid in cash: the new loan's position against the old at five horizons, for a matched 27-year term and for a fresh 30 (hypothetical assumptions; method reviewed September 7, 2026).

Educational only, not investment, tax, or legal advice. Results are hypothetical estimates that vary with each use and over time and are not guaranteed accurate or complete. Using this tool creates no client relationship with Considerate Capital, and the site that linked here is not affiliated with it. By using it you agree to the tool terms.