DayCents

Refinancing

Refinancing replaces your existing mortgage with a new one, usually to get a lower interest rate, change the term, or tap equity. It's worth it when the monthly savings outlast the closing costs — and when the deal still saves money over the full life of the loan, not just per month.

The catch most calculators hide: resetting a 27-year-remaining loan into a fresh 30-year term can lower the payment while raising total interest by tens of thousands. Compare the break-even month (closing costs ÷ monthly savings) and the lifetime cost before refinancing.