What are typical refinance closing costs?

2-5% of the loan amount. On a $300,000 refi, expect $6,000-$15,000 in costs unless you pick a no-closing-cost refi (which typically has a higher rate).

Should I do a no-closing-cost refi?

Only if you’re not staying long enough to amortize the costs. The higher rate usually makes it more expensive over time.

Money & Finance · Free tool

Refinance Calculator

Free mortgage refinance calculator. Compare your current payment to a refinance option and see if it's worth the closing costs.

Updated April 2026

Home price ($)Down payment (%)Rate (%)Term (years)Property tax (% / yr)Insurance ($ / yr)

Monthly payment (PITI)

$2,251

P&I

$1,751

Tax

$400

Insurance

$100

Loan amount: $300,000

What it does

A refinance calculator that lets you model a new mortgage alongside your current one. Use the inputs as the new-loan numbers: the refi’s principal, the new rate, and the new term. Compare the new monthly and total interest to what you’re paying today, then subtract closing costs to find your true break-even point.

Rule of thumb: if the rate drop is 0.75% or more and you plan to stay in the home long enough to recoup closing costs (usually 3-5 years), a refi typically pays off. Below that threshold, or with a short expected stay, it often doesn’t.

Example input & output

Input

New principal: $300,000
New rate: 5.75%
New term: 30 years

Output

New P&I: $1,751/mo
New total interest (30 yrs): $330,309
Break-even (assuming $6,000 closing): ~36 months vs current 6.75% loan

A 1% rate drop on $300,000 saves about $170/month — roughly $60k over 30 years.

How to use it

Enter the loan balance you’d refi (usually < original principal).
Enter the new rate you’re being quoted.
Pick a new term (keeping 30 years resets the clock; a 15 or 20 shortens it).
Compare the new PITI and total interest to your current loan.
Subtract closing costs to find break-even.

When to use this tool

Rate has dropped 0.75%+ since original loan.
Switching loan type (ARM to fixed, FHA to conventional to drop MIP).
Removing a co-borrower via a refi.

When not to use it

If you plan to move within 1-2 years — closing costs likely eat the savings.
If cash-out is for consumer spending rather than a real investment.

Common use cases

Deciding whether to refinance into a lower rate.
Switching from a 30-year to a 15-year while keeping roughly the same monthly.
Cash-out refinance math (principal goes up; interest goes up too).

Frequently asked questions

What are typical refinance closing costs?: 2-5% of the loan amount. On a $300,000 refi, expect $6,000-$15,000 in costs unless you pick a no-closing-cost refi (which typically has a higher rate).
Should I do a no-closing-cost refi?: Only if you’re not staying long enough to amortize the costs. The higher rate usually makes it more expensive over time.