REFINANCE · START WITH A PLAN

Bring the payoff closer.
Keep the payment workable.

An earlier mortgage payoff can be a useful goal. Compare the cost of replacing your loan with the option of keeping it and paying extra, then test what each plan asks of your monthly budget.

Compare refinance scenarios

Free educational resources. No application or credit check.

Last updated on September 19, 2026

A ceramic savings jar, small stacks of coins, and a notebook beside a plant

MAKE THE DECISION CLEARER

Work through the tradeoffs.

Put a date on the goal

Start with the years left on your existing loan and the year you would like to finish paying. Compare schedules against that date, rather than against the original term from years ago.

Separate required and optional

A shorter refinance creates a new required payment. Extra principal on an existing loan may offer flexibility, subject to its terms. Record the difference and ask how extra payments are applied.

Preserve room for real life

Include closing costs and the reserve left afterward. Run the proposed payment through a difficult-month budget. Compare a less aggressive schedule if the new obligation depends on optimistic income or spending assumptions.

GET READY FOR THE CONVERSATION

Your next-step checklist.

Check what you have prepared. Keep the remaining questions for your next conversation.

I have written my desired payoff year.I am comparing against the current remaining term.I have separated required and voluntary payments.I have included closing costs and remaining reserves.I have checked prepayment terms and payment instructions.

0 of 5 prepared.

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AN ILLUSTRATIVE EXAMPLE

Translate a higher payment into a yearly commitment.

A hypothetical extra $350 each month is $4,200 a year of required cash flow. Compare that commitment with actual savings capacity, not just the appeal of an earlier payoff. The full decision also includes fees, interest, and remaining principal.

BEFORE YOU MOVE FORWARD

A few useful answers.

Sources & important information

Freddie Mac: Planning to refinance Freddie Mac: A closer look at refinancing

RatesMatter provides general education and is not a lender. Examples are hypothetical and do not represent available rates or terms. No live lender offers are available on this page. Borrowing secured by your home puts it at risk if you cannot repay.

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