Interest Rate Calculator Turkey

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Mortgage Refinance Savings Calculator

Calculate your monthly savings and the break-even point for your new home loan.

30 Years 20 Years 15 Years 10 Years

Your Refinance Summary

New Monthly Payment: $0.00
Monthly Savings: $0.00
Total Interest Paid (New Loan): $0.00

How to Use the Mortgage Refinance Savings Calculator

Deciding whether to refinance your home is a major financial decision. This calculator helps you determine if the long-term savings outweigh the upfront costs (closing costs) of securing a new mortgage rate.

Key Definitions

  • Remaining Loan Balance: The total amount you still owe on your current mortgage.
  • New Interest Rate: The annual percentage rate offered by your new lender.
  • Closing Costs: Fees paid at the end of the transaction, typically including appraisal, title insurance, and origination fees (usually 2-5% of the loan amount).
  • Break-Even Point: The number of months it takes for your monthly savings to cover the total cost of the refinance.

Example Scenario

Imagine you have a $300,000 balance on a loan with a monthly payment of $1,800. If you refinance into a new 30-year loan at 4.5% interest with $5,000 in closing costs:

  • Your new monthly payment would be approximately $1,520.06.
  • Your monthly savings would be $279.94.
  • Your break-even point would be roughly 18 months.

In this case, if you plan to stay in the home for more than 1.5 years, refinancing is likely a sound financial move.

function calculateRefi() { var balance = parseFloat(document.getElementById('currentBalance').value); var currentPay = parseFloat(document.getElementById('currentPayment').value); var rate = parseFloat(document.getElementById('newRate').value); var termYears = parseFloat(document.getElementById('newTerm').value); var costs = parseFloat(document.getElementById('closingCosts').value); if (isNaN(balance) || isNaN(currentPay) || isNaN(rate) || isNaN(termYears) || isNaN(costs)) { alert("Please enter valid numerical values for all fields."); return; } // Monthly interest rate var monthlyRate = (rate / 100) / 12; // Total number of payments var totalPayments = termYears * 12; // Monthly payment formula: P * [ i(1 + i)^n ] / [ (1 + i)^n – 1 ] var newPayment = balance * (monthlyRate * Math.pow(1 + monthlyRate, totalPayments)) / (Math.pow(1 + monthlyRate, totalPayments) – 1); var monthlySavings = currentPay – newPayment; var totalInterest = (newPayment * totalPayments) – balance; var breakEvenMonths = costs / monthlySavings; // Format numbers var formatter = new Intl.NumberFormat('en-US', { style: 'currency', currency: 'USD', }); document.getElementById('newMonthlyPayment').innerHTML = formatter.format(newPayment); document.getElementById('monthlySavings').innerHTML = formatter.format(monthlySavings); document.getElementById('totalInterest').innerHTML = formatter.format(totalInterest); var breakEvenDiv = document.getElementById('breakEvenPoint'); if (monthlySavings > 0) { var years = Math.floor(breakEvenMonths / 12); var months = Math.ceil(breakEvenMonths % 12); var timeText = ""; if (years > 0) { timeText = years + (years === 1 ? " year " : " years ") + "and " + months + (months === 1 ? " month" : " months"); } else { timeText = months + (months === 1 ? " month" : " months"); } breakEvenDiv.innerHTML = "Break-Even Point: " + timeText; breakEvenDiv.style.backgroundColor = "#e7f3ff"; breakEvenDiv.style.color = "#0073aa"; } else { breakEvenDiv.innerHTML = "No monthly savings detected with these terms."; breakEvenDiv.style.backgroundColor = "#ffe7e7"; breakEvenDiv.style.color = "#d63031"; } document.getElementById('refiResults').style.display = 'block'; }

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