Deterministic refinance tool
Mortgage refinance comparison calculator
Compare the existing mortgage with a proposed refinance over the same time horizon. Enter the penalty and other refinance costs yourself so the calculator never guesses a lender-specific payout charge.
What this comparison answers: How would the starting monthly payment, interest paid, remaining balance and interest-plus-upfront-costs differ over the period you choose?
Why a lower payment is not automatically a cheaper refinance
Restarting or extending amortization can reduce the monthly payment while leaving a larger balance after the same number of years. This calculator therefore shows payment, interest cost and remaining balance separately.
What “financing cost” means here
The comparison adds your entered penalty and other upfront refinance costs to the proposed mortgage’s estimated interest over the selected period, then compares that amount with the existing mortgage’s estimated interest over the same period.
Important assumptions
- Both mortgages are modeled with monthly payments using Canadian nominal annual rates compounded semi-annually.
- Rates are held constant for the comparison period for illustration.
- The penalty and other costs are entered by you; this tool does not calculate lender-specific penalties.
- Upfront costs are assumed to be paid separately rather than added to the mortgage.
- The tool does not determine qualification, approval, product availability, tax consequences or whether refinancing is suitable.