Mortgage payoff strategies

Compare extra payments, refinancing, and opportunity cost

Fixed payment

Loan type

Payment type

Loan amount Interest rate (%)

Loan term (years)

Payments already made

Payments remaining

Enter a term to see this

PMI (monthly) Property tax (annual) Home insurance (annual)

PMI is common when the down payment is under 20%. Enter the monthly premium. Property tax and homeowners insurance are annual amounts, split across 12 months and added to the payment.

Extra principal payment (optional) Applied to principal with the next payment. Compares paying the loan off sooner with keeping the term and lowering the payment. Bi-weekly payments Pay half of the principal-and-interest payment every two weeks (26 payments a year). Interest compounds bi-weekly. The result shows the interest saved versus the monthly plan.

Additional principal payments Optional · more than one

Enter the payment number. That amount is applied to principal in addition to the regular payment.

Opportunity cost Optional

The same cash is compared three ways: extra principal to shorten the term, extra principal to lower the payment, and monthly compounding until the original loan would have ended. Leave both fields blank to skip this.

Cash on hand Savings or investment APY (%)

Refinance Optional

The remaining term stays the same. Closing costs are paid once and are not added to the balance. Leave the rate blank to skip this.

New interest rate (%) Closing costs (optional)

Monthly housing payment

Principal & interest

PMI

Property tax

Home insurance

Total interest

Strategy comparison

Ranked by net benefit. Refinance is shown after closing costs. Green is best, blue is next, and red is worse than the original plan.

Rank	Strategy	Details	Net benefit

Charts

Remaining balance

Remaining interest

Every strategy starts with the same remaining interest. An extra principal payment makes that month drop in a straight line. The balance is zero once the loan is paid off.

Amortization schedule

Export schedule

Payment	Amount	Principal	Interest	Balance