Refinance Calculator

It depends on the break-even period versus how long you'll keep the loan. Even a 0.5–1% rate drop can be worth it on a large, long-remaining balance — run your exact numbers above rather than relying on a rule of thumb like 'only refinance for a 1%+ drop.'

Matching your remaining term (rather than resetting to a full new 30-year term) captures the rate saving without extending how long you're in debt. Resetting the term lowers the monthly payment further but can add years of interest — check the lifetime savings figure, not just the monthly one.

In India, home loan balance transfer costs are usually low — mainly a processing fee plus possible legal or valuation charges, often well under 1% of the loan amount and much lower than mortgage refinancing costs in some other countries. Get an exact quote from your new lender rather than estimating.

At minimum, past the break-even period shown above. Many advisors suggest planning to keep the loan for several years beyond break-even, since job changes, moves or further rate drops can all shorten your actual holding period versus your plan.

It's harder and the rate offered will likely be worse, which can shrink or eliminate the savings this calculator shows. Get a real quote before assuming refinancing helps — a marginal rate improvement may not clear the closing-cost break-even point.