Refinancing Break-Even Calculator

Switching lenders can save thousands — but only if you stay long enough to recoup the costs. Enter your details to see exactly when you'll break even.

What Costs Are Involved in Refinancing?

Refinancing isn't free. The main costs to account for include: discharge fees from your current lender (typically $150-400), break costs if you're exiting a fixed rate (can be thousands — ask your lender for an exact figure), application or establishment fees with the new lender ($0-600), valuation fees ($200-500, often waived), and potentially Lenders Mortgage Insurance (LMI) if your equity has dropped below 20%.

When Does Refinancing Make Sense?

As a rough guide, refinancing tends to make clear sense when the rate difference is 0.5% or more, switching costs are under $3,000, you plan to keep the loan for at least 2-3 more years, and your equity is above 20% (avoiding new LMI). Use the calculator above to run your specific numbers. If you're unsure, a mortgage broker can compare options from multiple lenders at no cost to you — brokers are paid by the lender, not the borrower.