Cash-out refinance calculator 2026
A cash-out refinance replaces your existing mortgage with a new loan and lets you borrow more than your current balance, with the difference paid out as cash. This calculator estimates the new loan payment and interest based on the inputs you provide. Results are mathematical projections and are not a loan offer, approval decision, or official payoff statement.
Estimates only. Loan terms and approval depend on lender underwriting.
Cash-Out Refinance Calculator
Current Loan
Cash-Out Details
Mortgage Result
Enter loan details to calculate.
How it works
The model compares two scenarios using standard amortization math. First, it estimates your current loan using your remaining balance, rate, and remaining term. Second, it estimates a new refinance loan based on your selected new rate and term, plus any cash-out amount. If you choose to roll closing costs into the new loan, those costs are added to the new principal. The calculator then projects monthly principal-and-interest payments and total interest over time. Because a refinance is generally treated as a new transaction under federal mortgage disclosure rules, your actual terms and required disclosures come from your lender and loan documents.
Examples
Example: You have a $240,000 remaining balance at 6.5% with 22 years left. You consider refinancing to a 30-year loan at 6.0% and taking $30,000 cash out. The calculator estimates the new principal (balance + cash-out + optional financed closing costs) and projects the new payment and total interest. Extending the term may lower the monthly payment but can increase total interest over time, depending on rates and loan size.
Limitations and important notes
This calculator estimates principal-and-interest only and does not include escrow (property taxes, homeowners insurance), mortgage insurance, lender credits, discount points, prepaid items, payoff-related fees, or servicer-specific interest accrual and payoff rules. Results depend on the accuracy of your inputs and simplified assumptions. Program rules and lender policies can vary, and loan availability and terms are determined by the lender. For consumer guidance on cash-out refinancing and other ways to use home equity, see the CFPB’s guide on using home equity to meet financial needs: https://files.consumerfinance.gov/f/documents/cfpb_jith-using-home-equity-guide.pdf
FAQs
What is a cash-out refinance?
A cash-out refinance is a new mortgage that replaces your current loan and is larger than your remaining balance, with the difference paid to you as cash at closing (after any fees or payoffs).
Does a cash-out refinance change my interest rate and term?
It can. A refinance typically creates a new loan with new terms, which may include a different interest rate, loan term, and monthly payment compared with the existing mortgage.
Can closing costs be added to the new loan?
Some refinance structures allow closing costs to be financed into the new principal, while others require them to be paid at closing. This calculator can model either approach, but the actual option depends on the lender and the final loan terms.
Is a cash-out refinance always cheaper than keeping the current loan?
Not necessarily. A lower payment can come from extending the term, which may increase total interest over time. The outcome depends on the new rate, term, costs, and how long you keep the loan.
Does qualifying for a cash-out refinance depend on the lender?
Yes. Approval and terms depend on lender underwriting and the specific loan program. Availability and requirements can vary by program and lender.
Calculations are simplified and for guidance only. Always double-check results and current rules with official sources or a qualified professional before making financial decisions.