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Jinsi ya kukokotoa Refinance Break-Even

Refinance Break-Even ni nini?

Refinance breakeven determines how many months you must keep a refinanced loan to recover closing costs. Compares current and new loan expenses to find the payoff point.

Fomula

Breakeven months = Refinance costs / Monthly savings

Mwongozo wa Hatua kwa Hatua

  1. 1Calculate refinance costs (appraisal, title, processing)
  2. 2Find monthly payment difference between loans
  3. 3Divide total costs by monthly savings

Mifano Iliyotatuliwa

Ingizo
Costs: $3k, Monthly saving: $200
Matokeo
Breakeven: 15 months
Keep loan 15+ months to benefit

Makosa ya Kawaida ya Kuepuka

  • Ignoring prepaid interest and fees
  • Not accounting for tax deduction changes

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