Cash-flow simulator
Mortgage Refinance Break-Even and ROI Simulator
Compare the current loan with a proposed refinance across monthly principal and interest, estimated closing costs, break-even timing, five-year cash flow, and remaining principal. The result is an educational scenario—not a refinance recommendation.
REFINANCE ASSUMPTIONS
Model cash-flow break-even.
Principal-and-interest model only. Enter hypothetical scenario values, not borrower-identifying information.
- Current P&I
- $2,711
- New P&I
- $2,371
- Monthly difference
- $341
- New starting balance
- $385,000
Cash-flow heuristic only—not a refinance recommendation, Loan Estimate, quote, tax analysis, or total-interest comparison. Cost-recovery months divide estimated costs by the initial monthly principal-and-interest difference whether costs are paid at closing or financed. When costs are financed, the five-year cash-flow view shows no upfront cash outlay, while the higher starting balance remains visible in the balance chart. Taxes, insurance, mortgage insurance, escrow changes, points, lender credits, equity, prepayment, and holding period can materially change the result.
Why is break-even only one part of a refinance decision?
Closing costs divided by monthly payment savings is a cash-flow heuristic. A complete analysis also compares remaining term, financed costs, principal reduction, mortgage insurance, points, credits, total interest, equity, and the expected holding period.
Primary references
Verify the live rules and assumptions.
Program, regulation, and vendor information can change. Use the current source alongside lender, investor, legal, compliance, and file-level review.
Plan your processing lane
Need a second set of operational eyes?
Request a scenario-level conversation about scope, lender workflow, systems, and processing fit. Do not send borrower information or loan documents through this website.
- No borrower file needed
- Scope comes first
- Leave with a clear next step