Financing

Refinance

Replacing an existing mortgage with a new one to improve terms or extract equity.

Reviewed 9 August 2026 by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Plain-English explanation

Rate-and-term cuts payment; cash-out pulls equity tax-free.

Examples

Refi $200k at 7% to $180k at 5.5% = $200/mo savings.
Cash-out 75% LTV to redeploy equity.

Common mistakes

Refinancing without computing break-even on closing costs.

Refinance

Plain-English explanation

Examples

Common mistakes

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