Mortgage Refinance Calculator

Use this calculator to estimate the benefit of refinancing your mortgage to another bank

Current Loan

$
%

Current Monthly Payment

$3,181

New Loan

%
$

New Monthly Payment

$2,955

Refinancing Costs

$

Check with your current bank

$
$

Monthly Savings

$226

Interest Saved

$67,766

Total Costs

$2,100

Net Savings

$65,666

Refinancing Could Be Beneficial

Based on these figures, refinancing could save you $65,666 over the life of the loan. You would break even in approximately 10 months.

When refinancing usually makes sense

Refinancing is usually strongest when the new rate is meaningfully lower, you still have years left on the loan, and the break fees plus legal costs can be recovered quickly through lower repayments.

  • You can recover the switching costs within a reasonable number of months.
  • The new lender is offering a materially lower rate or better structure.
  • You want to change the loan term, fix period, or split strategy to suit your plans.

What to check before changing lenders

The cheapest advertised rate is not the whole story. A refinance decision should also weigh cash contributions, break fees, valuation costs, legal work, and whether the new structure still suits your goals in 12 to 24 months.

  • Confirm the exact break fee with your current bank on the day you plan to switch.
  • Check whether cashback clawback rules could affect the deal.
  • Compare flexibility features such as offset, revolving credit, or split lending.

Quick refinance FAQs

Does refinancing always lower your total costs?

No. A lower interest rate can still be a bad move if the break fee, legal costs, and other switching costs are too high. The important question is how long it takes to recover those costs and whether the long-term savings are still positive.

Should I refinance during a fixed term?

Sometimes, yes. If rates have dropped sharply or your current structure no longer suits you, breaking early can still make sense. But you should always get an up-to-date break quote from the lender before deciding.

Can a broker compare the real refinance cost for me?

Yes. A broker can compare lender offers, cashback, pricing, and structure options, then weigh them against your switching costs so you are not judging the deal on rate alone.

Disclaimer: This calculator provides estimates only and should not be relied upon for financial decisions. Actual loan terms, rates, and eligibility may vary. Please contact a Mortgage Lab adviser for personalised advice.

Need Help?

Our advisers can help you understand your options.

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